>>1457439The problem is in the UK there's too much competition from rail lines and highways for airlines to be profitable in domestic competition. The country as a whole, and most of Europe as well, is fairly small and you can get from one end to the other in less than 24 hours by either method. A plane has no advantage except convenience factor, making a 30-minute to 4-hour flight that lets you get somewhere in the same day at a slightly higher price.
Contrast the USA: Rail and highway travel between most major destinations requires multiple days of travel, and so domestic flights that let you travel between opposite sides of the country in under 14 hours are an incredible convenience and time saver, especially when you consider the free market conditions that prevail in the USA mean most flights shorter than 2 hours go for under $100. It's cheaper than driving that distance round trip and nearly 8-10 times faster than taking a train.
Flybe and all other UK domestics are basically not required by the transit market.
