Rule Number 1 of low cost airline route selection: "avoid going head-head on the same routes with another low cost operator".
If go really want to open up the low cost market to the East Midlands populace why can't they be a bit more imaginative/creative in their route selection. There are many other airports on the Mediterranean they could have chosen, rather than fighting with bmi baby for the same market - it would also be beneficial to their customers!!