Shortround6
Major General
It wasn't money; it was capacity. Peregrines could only be built at the expense of Merlins, so the Air Ministry would lose two Spitfire or Hurricane engines for every Whirlwind built. The Mosquito won, also, on two counts; being made of wood, it could be built in furniture factories (in my home town,) using presently redundant woodworkers, and Westland were needed to build Spitfires/Seafires. Performance of the Whirlwind fell off with height, which became crucial once the RAF was flying into Europe, and, another consideration was that the fuel was not transferable between wings, so one engine out caused all sorts of problems.
Edgar
Performance fell of not much worse than a plane with a Merlin III. The Air Ministry had become disenchanted with the Whirlwind because of Westland's slow going with the program, the program was months late if not over a year with no good solution really in sight. With the Whirlwind the only viable aircraft using the Peregrine and resources needed for the Vulture ( ) the Peregrine was on the chopping block. Most of the excuses for chopping the Whirlwind ring a little hollow considering how long it stayed in service (and not as a target tug like so many other questionable British aircraft) with absolutely no upgrades or improvements (unless you count bomb racks fitted to 1-2 year old planes). No improved engines, or props or even a cross feed pipe for the fuel.