Whitehall Securities was joined as investor in the merged airline by banking house Erlangers Ltd, through its Chairman, Leo d'Erlanger.

The ownership of DH.89s and Spartan Cruisers was progressively transferred to Northern & Scottish, and the Argosy was withdrawn from use at Stanley Park Aerodrome (Blackpool).

[1][2] On 7 February 1937, all services were transferred to Croydon Airport, after surfaces at Gatwick became water-logged due to heavy traffic on immature turf and drains that collapsed; some training operations remained there.

[1] On 15 September 1938, British Prime Minister Neville Chamberlain flew from Heston to Munich for a meeting with German leader Adolf Hitler at Berchtesgaden.

On 22 September 1938, Chamberlain flew to Cologne for a meeting at Bad Godesberg in Lockheed 14 G-AFGN, flown by Eric Robinson.

That ordered military takeover of most civilian airfields in the UK, cessation of all private flying without individual flight permits, and other emergency measures.