EUROPE'S third largest budget airline is hoping to base aircraft at Newcastle International Airport.

Flybe. already operates a regular service to Belfast City and yesterday announced it was opening up routes to Southampton and Exeter from October.

The low-cost flyer, which has 31 aircraft, said it was planning further destinations in France and Ireland from Newcastle next spring.

If the expanded programme proves popular, the airline said it anticipates having aircraft permanently based at Newcastle. It operates bases in Exeter, Southampton and Birmingham.

The launch of the new routes is part of flybe.'s winter schedule for 2004/2005 as the airline increases capacity across its network by a fifth, with 2.5 million seats going on sale as part of flybe.'s strategy of continued investment and expansion of its domestic and international network.

The winter schedule announcements follow flybe.'s most successful year to date in the North-East and the announcement of provisional profit figures for the financial year 2003/2004 of £3.1m.

Mike Rutter, sales and marketing director at flybe., said: "We have big plans in the North-East. Contrary to competitor strategies of route cutting and retrenching back to London, flybe. is expanding in the regions and is committed to bringing flights to your door."

John Parkin, chief executive at Newcastle International Airport, said: "The launch of the new routes to Southampton and Exeter, as well as flybe.'s decision to expand capacity on their existing routes, demonstrates the ever-increasing demand for low-cost flights from the North East.

"Flybe.'s plan to make Newcastle International one of their major bases within the UK is based on the success of their operation out of the airport since the airline started services here in 2001. "