The game took place toward the Southeast of the USA, as far as Florida, and the major conflict was to be between man and nature. The Midwestern Brotherhood of Steel was to be portrayed as even more fascist and oppressive, and as BOS only in name.
The basic premise was that a GECK had been radiated, and so the "Garden of Eden" it created was full of mutant plants and fungi. It begins to spread fairly rapidly, preying upon animal life and using them as carriers/fertilizer to spread its fungal seed. The player basically gets tasked with discovering the source and a way to put an end to it. You had got accelerated regrowth, and nature reclaiming the wasteland, but because it also wants to get rid of humans, there's a real moral ambiguity to it.
I'm also pretty disappointed that Tactics 2 never saw the light of day, since it's a title that would have benefited from the experience and criticisms of the first game. Plus we were very conscious of heeding Fallout canon as best we could, and providing more interesting tactical missions rather than the run and gun focus of the first game. - Gareth Davies (NMA interview)
One of the biggest resources I drew upon when working in a more significant role on the ill fated FOT2 was varied treatises and comments from Fallout fans on what they felt constituted the Fallout universe. I was also lucky enough to have the original docs for Fallout on hand, and so between the original vision and a collective perception of that vision once realised it painted a pretty clear picture. Likewise, criticisms of the Tactics game world were taken on board and mentally collated. - Gareth Davies (NMA interview)
IF we did Tactics 2 then I think we would want to make some major changes and we would have to think seriously about moving away from pre-rendered tiles and sprites. - Tony Oakden (Freelancer interview)
My biggest regret about Fallout Tactics 2 getting canned was the fact that we didn't get to unleash the Dialogue Tree secret encounter upon the world. "You see the dialogue tree. It's brown, shriveled form obviously hasn't gotten the attention it deserves, but with love and care it would certainly live to bear sweet fruit once more." - Gareth Davies (RPG Codex forums)
The basic premise was that a GECK had been irradiated, and so the "Garden of Eden" it created was full of mutant plants and fungi. Day of the Triffids, Doctor Who and the Seeds of Doom (probably my favourite episode) and the good ol' sci-fi standard of radiation = giant monsters were the big influences. My favourite aspect of the theme was the idea that you essentially have nature doing its thing and rapidly rejuvenating the desert wastes, but those wacky humans feel the need to oppose it because they don't like the idea of becoming fertilizer. There was a lot of moral ambiguity to explore, so all in all, I think it was a pretty strong setting/narrative behind the game, especially compared to the first with its robots. - Gareth Davies (RPG Codex forum)