Flybe are on the edge of being a major airline in Europe.
Once they get the management & office staff to realise this practically then Europe is their oyster.
Therefore i think they should be thinking big terms, not small Southweat with a few routes from Plymouth and Newquay - which they already serve!!
as others have said, they will save their money and wait for them to go bust!!
Imho the only ones who may be interested would be Eastern.