Lufthansa is planning a low-cost airline to rival British Airways’ Go.
The airline will serve Germany-UK routes first and then be put into other European markets.
Lufthansa chief operating officer Dr Karl-Friedrich Rausch confirmed the plans for a no-frills operation.
He said:”We are discussing a low-cost airline for the UK-Germany market. It is under investigation, as we are concerned about the impact of Go and Ryanair.”
Both Go and Ryanair serve Germany from Stansted. The UKairline started Munich flights last November while Ryanair launched a Frankfurt service last month. Prices on Go lead in at ú80 return, but Ryanair is offering a one-way ticket, leading in at ú17.99 excluding tax, to promote it’s Frankfurt service.
Dr Rausch revealed that Lufthansa considered launching a domestic low-cost carrier two years ago, but plans were scrapped as the proposal was uneconomic.
“There was too much competition from road and rail.” However, Dr Rausch said the UKwas attractive for a low-cost launch as it is an island and other forms of transportation than air travel were less of a threat. Lufthansa has tried to lessen the impact of Go and Ryanair by launching its own Stansted services.
Dr Rausch also stressed that the Lufthansa product was very different from low-cost airlines, as it had two classes and a full service.
He refused to give a date for the launch of a low-cost Lufthansa airline, but admitted plans were coming together.