In short, they were discussing, conceptually, the Windsor, a fast medium bomber with rearward facing defensive armament. My own work in the archives has revealed, in multiple documents, that the standard features the RAF were looking for in bombers in the latter half of the war were the following:
The ability to carry a single 12,000lb bomb fully enclosed by the bomb doors
Four 20mm rearward facing cannon controlled from the tail
twin .50 nose turret machine guns (RAE ideal Nose as fitted to the Lincoln and planned for production Windsors)
The big bomber debate is likely derived from the various 75-100 ton bomber studies undertaken in 1943-4- some with as many as 12 20mm cannon and 64,000lb bomb-loads.
Hood said:
The rearmament focus certainly redressed that balance with the specifications released in 1936 and thereafter, but generally all types of RAF aircraft were modernised and there was no neglect of tactical or strategic or fighter needs. What was produced was not always ideal, but the major types were modern 1930s aircraft. Cutting Wellingtons to build more Blenheims would not have been an ideal answer. Saying that, I feel had the Hawker Henley been built it in its intended role, it would have proved beneficial in 1940. A Henley with Hurricane wings with 8x.303in might have been a potent ground-attack aircraft.
Tactical air forces were utterly ignored to provide resources for Bomber Command. The general purpose aircraft that was to have succeeded the Blenheim, the Albemarle, was crippled by the decision to use non-vital materials (steel) and was largely used to test out one of the B.1/39 landing gear configurations. The Henley, as you rightly say never happened. Under Scheme M, the final pre-war RAF expansion scheme the Recce and Army cooperation force was to have consisted of 28 squadrons (supplemented by 10 out of total of 50 fighter command squadrons allocated to the BEF) against 85 Bomber Command squadrons for which there were seven different bomber types under development in 1939 (Warwick, Manchester/Lancaster, Halifax, Stirling, Supermarine Type 317, HP and Bristol B.1/39s).
The reason the Typhoon (a failed Fighter Command interceptor) and a series of US twin engined bombers became major components of 2TAF was the under investment by the RAF in tactical Army support aircraft.