British Airways has launched a series of cheaper and more flexible fares and made it easier to book flights online in an attempt to compete with low-cost rivals.

The airline has removed its advance purchase restrictions and scrapped Saturday night stay requirements for its cheapest domestic flights in and out of London.

And it will let customers pay different fares for each flight on a return journey.

"For example, a business traveller can combine a cheaper fixed outbound flight to Edinburgh with a flexible return, paying �199 instead of �309 saving �110," BA said.

"The scrapping of pricing restrictions means that many of our business and leisure customers will benefit from lower domestic fares and increased flexibility as well as more frequent services," said UK and Ireland sales and marketing chief Tiffany Hall.

Some customers could save up to 70% on some journeys, BA said.

Cheaper all year

BA has also introduced a series of lower domestic fares which will be valid around the year.

BA's latest offering will slash the cost of flying between London and several UK cities to less than �70 return.

And for those booking online, the fare will drop even further due to a �5 discount for electronic tickets sold via its ba.com website.

"We want to compete profitably and intelligently alongside the no-frills carriers by adopting what they do well - online booking and pricing simplicity," said Ms Hall.

Job cuts

BA's push into the budget airline market comes soon after trade unions condemned its plan to cut a further 5,800 jobs on top of 7,200 announced last year.

The job cuts were announced along with the closure of 10 routes and the slimming down of the BA fleet.

The moves, part of a package aimed at achieving cost cuts of �650m a year, follow a wide-ranging review by chief executive Rod Eddington designed to return the airline to profitability.

BA has suffered due to the downturn stemming from the 11 September attacks, while the businesses of budget carriers such as Ryanair, Easyjet and Buzz have proved much more robust.