BAC One-Eleven suffered disasters in service, strong passenger demand had been demonstrated for jet propulsion. Several manufacturers raced to release passenger jets, including those aimed at the short-haul market, such as the Sud Aviation Caravelle. In July 1956, British European Airways published a paper calling for a "second generation" jet airliner to operate beside their existing turboprop designs. This led to a variety of designs from the British aerospace industry. Hunting Aircraft started design studies on a jet-powered replacement for the successful Vickers Viscount, developing the 30-seat Hunting 107. Around the same time, Vickers started a similar development of a 140-seat derivative
Vickers River Tyne. Armstrongs shipbuilding interests became the "Naval Yard", those of Vickers on the west coast the "Naval Construction Yard". Armstrong Whitworth Aircraft was not absorbed by the new company. In 1928 the Aviation Department became Vickers (Aviation) Ltd and soon after acquired Supermarine, which became the "Supermarine Aviation Works (Vickers) Ltd". In 1938, both companies were re-organised as Vickers-Armstrongs (Aircraft) Ltd, although the former Supermarine and Vickers works continued to brand their products under their former names. 1929 saw the merger of the acquired railway business with those of Cammell Laird to form Metropolitan Cammell Carriage and Wagon (MCCW);