New stuff from Swiss archives:
These are the avenues of further 105 and 120mm gun and ammo improvement as of 1977 for the British, which gives options for alternate ammo and guns for the late 70s and 80s.
The British were looking at introducing RDX type propellant and electroslag refined barrels to shoot ammunition at a greater pressure, thus putting more force behind the projectile. RDX increases the force and reduces dispersion at the same pressure. The gun and propellant each accounted for a 150 ft/s increase in velocity. In the 105, this allowed the option of a heavier APDS core which could finally deal with thick armor, here 150mm @60° at 1000m where the present 120mm could only do so at 550m (so better than Chieftain). It was hoped that APDS would have a lower dispersion than APFSDS, but much lower penetration performance.
The 120mm was looking at similar changes, plus a switch to a new combustible or stub case charge and/or a new breech block, and then eventually a new barrel, obturation and ignition system. This was to get around the limitations of the bag charge system which required a less convenient obturation system on the existing L11 gun and couldn't quite provide the same power and accuracy. Many of these features were seen either on Challenger 2's L30 gun, or in guns that were intended for MBT-80 like the M13A. This shows that APDS itself could become quite powerful in the 120mm, but nonetheless it was clearly inferior to APFSDS.
Sadly, IRL Chieftain and the 105mm only got new propellant and APFSDS, and quite a good deal later than this study intended.