I just don't think BA can have an LCC model within the busniess.
Look at Go and BACon.
If they are keeping the branding, and lowering the service, then this would be like TED. Which I don't think has been a success.
Or they could go BMI - and cut the onboard service on short hauls.
I think they should stick to what they are - expensive, but good quality. The M&S of the skies. They do this, and they do it well.
Now, saying that, Jet* seems to be going ok - so who knows! Interesting times.