Given that the tooth form appears to be trapezoidal it wouldn't be much use for cutting a worm wheel one tooth at a time. Unlikely as it seems, I think it was probably used for thread milling the worm itself. Like here:
**LINK**
Quite why an involute cutter is being used I'm not sure, as it doesn't produce the normal trapezoidal form. I guess it might be because the cutter was to hand, and traction engine steering is hardly the most precise of mechanisms?
Regards,
Andrew
PS: It is well worth reading all the pages of the above link, fascinating stuff