The Meteor was not that far forward thinking, it just fitted nicely into the timescale that large WW2 tanks developed it seems to me. The availability of Merlin spare/unusable parts built-up hugely in the War. Remember that there were whole UK factories stripping and rebuilding new Packard Merlins to the later modification states and many of those thousands of parts were suitable for the Meteor.
Superficially, the history of AFV engines seems to be one of underperformance. Here, I say that the Meteor broke that mould and did great service. Certainly, developing a "V-8 Lion"
or similar that was anything useful would likely have missed the War and then, it would have been too small and a shot in the dark.
No, the Meteor was a brilliant move that is probably under appreciated.
Eng
The timing doesn't line up well.
They were working on the early cruisers in 1936-38 and the A 13/Cruiser III was in production in early/mid 1939. In fact prototypes were built in 1937. Decision for the Liberty dates from 1936-37?
Well before there were thousands of Merlin parts floating around.
The Staff requirement for a 20hp per ton engine (600hp for 30 ton tons) was not based on much in the way of testing, except perhaps for a few prototype Christies?
40mph in a 30 ton tank turned out to be not as useful as they thought. Broken tanks and broken crewmen.
It did provide pretty spritely performance in the 39 ton (short ton) Comet in 1944/45 and the Centurion certainly needed the power, But that was 1945/46 and not 1939-41.
Germans might have loved a 16 liter V-8 instead of their 11.9-12 liter V-12s in the MK III & IV.
I am having a hard time believing that turning a W-12 into a V-8 is that much harder than turning a V-12 into a V-8 (Meteorite) or the Ford V-8 from their abortive V-12 aircraft engine.
It took Ford almost 4 years to go from design to reliable service use but they only had drawings in 1940. Napier had over 15 years of experience with the Lion including racing versions. Granted the chief designer was now working for RR.
Granted it doesn't have the future potential but the Liberty V-12 didn't any future potential either.
The Kestrel may have been the best potential option but the chances of anyone getting a license to produce it was very, very small in the 1930s.