The Merlin 70 was the high altitude rated version with a Full Supercharger Height of 27,400 ft; used in the H.F Mk VII, VIII and IX: Spitfire LF HF Mk IX Test
the V1650-3 had a High Blower Critical altitude of 29,400 ft: P-51B Performance Test so Neil's calculations are as valid as those of the Merlin 66 vs V-1650-7.
If we check out the data cards for the Spit HF.VIII (Merlin 70, here) and Mustang III (V-1650-1, http://www.wwiiaircraftperformance.org/mustang/mustang-III-ads-3.jpg), we can see that, without ram, both engines are within 250 ft in full throttle height, 2nd gear, their power differing in 5 HP. They have the same power at FTH, 1st gear. Practically, the same engines?
The real-world difference occurred because of ram effect. The less draggy plane will be faster on same propulsive power, and greater speed will 'elevate' the FTH higher than lower speed. The FTH of the Mustang III was, as you note, as high as 29400 ft, vs. 27500 ft for the Spit HF.VIII. In other words, the Mustang III gained almost 6500 ft (23000 ft vs. 29400) due to it's low drag (and possibly longer/better intake?) and ram effect, the Spit only 4250 ft (23350 ft vs. 27500).
The ADS I've linked gives Mustang's maximum speed to occure at 28000 ft, making 450 mp/h there, vs. 442 mp/h at 29400 ft?