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Given the circumstances in Westral's 'Storm in Germany', I think that it would be deemed more prudent for the UK to manufacture an already proven design, giving more commonality within NATO, than producing something untried during the increased East-West tension after the Danilov led coup.
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If you include the Gulf war as timeline, The Challenger1 is given a battle proof run and is proven to work. The amount of kills it gets and its proven reliability in the field make up for it shortcomings at CAT 87. No doubt a Challenger 2 equipped team would be fielded for the next CAT before WW3 breaks out and The British army would be playing to win...
Your are looking at around 372 Challenger 1's and 386 Challenger 2 by 1996, Just enough to equip BOAR entirely. With about 850 chieftains in reserve.
This is all speculation however, how fast production of challenger 1 or 2 in a continuing and somewhat more strained cold war is anyone's guess.
The SA80 is however another matter, the Gulf war is the catalyst for its undoing with its problems laid bare before the world. Wikipedia states that a upgrade program is conducted in '91. Whether this converts it to an A2 of sorts standard, or is simply another temp solution can be entirely up to you.