Update

I added the following part in The British War Office Cypher:

The official history ‘British intelligence in the Second World War’ vol2, p298 says:

‘If under-estimation of the quality of Rommel's equipment was one reason why British confidence was high when the Crusader offensive began, another was the failure to allow for the efficiency of his field intelligence. By August 1941 the Germans were regularly reading the War Office high-grade hand cypher which carried a good deal of Eighth Army's W/T traffic down to division level, and they continued to do so until January 1942. Until then, when their success was progressively reduced by British improvements to the recyphering system, whereas GC and CS's success against the German Army Enigma continued to expand, this cypher provided them with at least as much intelligence about Eighth Army's strengths and order of battle as Eighth Army was obtaining about those of Rommel's forces.’