I think this article is rather misleading.
1. Ditching the F136 makes no difference to the UK buying the F-35B. It can still be powered by the Pratt & Whitney F135 + the Rolls-Royce lift system. It might only affect Rolls-Royce if nobody else decides to buy the F136 or the US government decides to cancel the engine (which Obama wants to do but is opposed by US Congress). More of Rolls-Royce's work on the F136 and lift system is undertaken in the States, so it is questionable as to how badly if would affect the company here.
2. The F-35B is the favoured option for the UK with two test models now ordered. Third to be ordered next year for delivery in 2011/12. All three will be powered by the F135 engine as the F136 won't be first test flown in any F-35 until 2012 (I think). The MoD has said last year that decision on whether the F-35B will be the final platform to be bought will not be fully made until 2014.
3. If the F-35B (which will be the most expensive F-35 variant of the lot) is found to be a load of rubbish then the F-35C will be bought instead.
4. Of course, by then a new government will probably be in power, so who knows what will happen.