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Sometimes decisions are made for many reasons. some large and some small.
Some interesting historical info here. Re; underemployed design staff - I think that was one of the reasons why Shorts were invited to submit a design - which became the Stirling, on the other hand they could just as easily been engaged in a military version of the S.25 flying boat.
Here's some more food for thought for all those keen on cancellations.
British aircraft production was to be organised into Groups (I mentioned this somewhere else). Each group would manufacture a particular type of aircraft and only one type would be ordered from each operational class. There are many reasons this wasn't adopted at the start of Scheme F, as some had hoped, not least because the government had no powers of compulsion and initial expansion of the aircraft industry was financed by private capital giving the Air Ministry much less influence.
Fast forward a few years as the group schemes are supposed to be implemented and the Air Ministry finds that not one but three heavy bombers have flown, Stirling, Halifax and Manchester. The Air Ministry was keen to concentrate production on one model but there was concern that the wrong one might be selected, none had yet been properly tried in combat. The three companies were understandably keen to carry on their own projects.
The result was that groups were organised for all three aircraft. This was an expensive and inefficient way of going about bomber production but it ultimately ensured that Britain produced a great heavy bomber. The intention was to later concentrate on only one design, but for a variety of reasons this never happened. Had the decision been taken in 1939/40 to cancel one of the three it would very likely have been the Manchester which was not showing much promise. No Manchester equals no Lancaster.
Germany gambled everything on one design, the He 177, and look how that ended up.
I post this to illustrate how the precipitous early cancellation of one programme can have unintended effects on other future projects.
It also proved impossible to concentrate production in just one fighter group.
Initially a group was to be set up for the new Hawker fighter (Typhoon/Tornado) which was to replace the Hurricane AND Spitfire in 1941. The engine issues are well documented and it became apparent in 1939 that a Spitfire with a more conventional and proven engine would equal the performance of the Hawker fighter
New expansion schemes announced in 1938 provided for an increase in fighter strength nearly double that of Scheme F. The Air Ministry had to commit resources to fighters already in production. A Spitfire shadow factory (Castle Bromwich) was sanctioned and Supermarine's capacity enlarged. A Hurricane group was set up comprising Hawker, Gloster, two Scottish engineering companies and the Canadian Car and Foundry Company (Montreal).
At the outbreak of war Britain had made a commitment to all three fighters. Once again it was intended that all resources would eventually be concentrated in the new Hawker fighter, but the performance and development of the Spitfire meant that this never happened.
In refusing to standardise airframe production the Air Ministry was doing what it as often been accused of failing to do, putting quality before quantity.
The success of two similar designs might frustrate efforts for concentration, but the failure of other projects did advance the process. It's why companies like Westland, Blackburn, Saunders-Roe, and Boulton Paul spent most of the war building other people's designs.
The group system was revised from time to time, principally between 1939 and 1941, but the five groups established to produce the Wellington, Halifax and Manchester bombers and for the Merlin and Hercules engines, accounted for half the resources of the British wartime aircraft industry.
Cheers
Steve
There was a significant civil market developed by De Havilland by concentrating on relatively cheap, low performance aircraft. Between 1930 and 1934 De Havilland's average annual sales in the civilian market compare closely with those of Vickers in the military market (£500,000 to £580,000). De Havilland also had a significant demand from foreign markets, unlike its military competitors who were building almost exclusively for the RAF, and the companies total production was only limited by the common practice of granting licenses to produce De Havilland products abroad. Some kind of license agreement was often a condition of purchase imposed by foreign governments at this time.
The Wright Corporation was licensed to build De Havilland engines in 1928. Subsidiary companies were established in some Commonwealth/Dominion countries and the USA (Moth Aircraft Corporation of America). Licenses were granted to companies in France and Norway.
In the ten years preceding the war De Havilland produced well over 3,000 civil aircraft in the UK, many more were produced under various arrangements abroad.
In 1924 De Havilland sales amounted to £138,495, by 1935 this had increased to £1,018,318. I would suggest that the company had found a significant and viable market for its civil aviation products and had exploited it successfully.
Cheers
Steve