Agreed - or at least to Westbury or Taunton in one hour and Exeter the other. Notably, these would also be good services for Wellington and Cullumpton. And Tiverton Parkway, lessening the need for Cornwall calls, being the same catchment.
And if hourly, the likes of Pewsey and Castle Cary could also drop off longer distance services.
But I think the ideal is three levels:
1tph Paddington - Westbury/Taunton (semi-fast)
1tph Plymouth alt/Paignton (a bit faster, cover Taunton, Devon calls inc Tiverton Parkway and Newton Abbott, Totnes when Plymouth)
1tph Penzance (fast Reading to Exeter, then to Plymouth (+Totnes if needed)
plus 1tph Bedwyn.
which might help the case for the electric B&H.
Could you dispense of the separate Bedwyn shuttle service (which must be awkward to operate) entirely if you got the Westbury/Taunton semi-fast to cover the calls? Can the semi-fast get to Westbury in time for the following fast to overtake in that case?
Contentiously, to minimise slowing down the service, could Kintbury drop to 1tp2h (with the other calling at Pewsey)?
I would however retain the 1tph Paddington-Newbury on top of that, to avoid having to stop the Westbury/Taunton at Theale and Thatcham, and to give Newbury 2tph to London, which I'd imagine there would be demand for.