Hi Paxboy,
Hindsight is 20:20 vision. BA sold Go as they needed the cash at that time and there was no appetite the model at that stage, despite fact it had turned a corner. The airline since recognised it was foolish to allow the low cost airlines to steal the show.
It is fascinating that so many commentators criticise the motives of management when they are trying to strip cost to ensure the viability of the business, we are in an unprecedented crisis. I'd rather explore the possible options with this than see BA exit LGW fully.
This needs to be looked at through a commercial lens. The real underlying issue here is the deregulated market that came about in 1992 and a free for all led by Ryanair in stripping the cost of everything back to the bone, this has set the bench mark in cost terms and certainly in short haul terms will continue to do so. I know it's sad and inpalletable that airlines have cut employee terms and conditions.
I think in terms of branding they need to look to the group (IAG) and lever the brands. The group look likely to acquire Air Europa in the near future. The result is a slew of brands, Iberia, Iberia Express, Level, Aer Lingus, BA, BA Cityflyer, Vueling and now potentially BA Express etc. Having a rationalised chain of brands makes sense at group level and putting this new entity into that could result in a bigger brand with greater reach, operation efficiencies eg scheduling from various bases, this bring huge benefits. I think there is a better way than creating a new unit. Union constraints should be no issue, they were able to get around all the Union rules during the pandemic.