I think it's clear that in the longer term, a half-hourly MK (but especially Bletchley) to West London service is quite important. You don't want to change at both Watford and MK if you can help it, as by that point, journeys from south of the river end up being easier through London itself and the Tube (not that I would mind).Open minded about that. The mkc to Watford/Clapham section was a useful local stopper service
What you do with it, as it goes on the slow lines south of Clapham, is a toss-up. But, it obviously needs to get to East Croydon, and then it seems daft to terminate anything there as you'd rather keep as many platforms available for through traffic including short-notice alterations during perturbation. There's realistically three places: Caterham, Tattenham Corner and Reigate.