This doesn't suggest more flights, to me it seems to be trying to make existing routes more attractive. The airport needs people though the door and spending time in the terminal while they wait for connections, if a BA jet is heading off to Leeds or Inverness on a slot-sitting mission it's much better for it to be 80% full than flying fresh air around.
In LBIA's defence the airport may not have actually said they don't want any domestic, but their pricing makes it prohibititive because it's biased towards larger aircraft. With the best will in the world you aren't going to get 777s heading to Newquay or Humberside.