If there wasn't any track in situ at all west of Exeter, what would you build?
Ignoring N Devon and N Cornwall totally, and thinking main lines only, a heavily-engineered route direct to Plymouth, which would probably cut 20 minutes off the journey. Serving Newton Abbot and Totnes rather than following the A38 would be more realistic, but save less time.
A branch to Torbay would be essential either way.
Dawlish and Teignmouth would have to lump it!
Just doing Exminster-Newton GWR style would only save 5-10 minutes (it's 5 miles or so shorter than via Dawlish).
We're not starting from scratch, though, sadly, and I doubt if either project could be justified in economic terms, as compared with the cost of upgrading to 125mph from Bristol and Reading to Exeter, which would bring the same result and benefit rather more people.
If we are talking diversionary routes then Bere Alston-Okehampton is the only show in town, as it was built as a main line - the old Teign Valley route wasn't built for speed but followed river valleys (surprise!).
But it would be liable to be blocked by snow (though hopefully on different days to south-easterlies at Dawlish?)
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