Lufthansa is exploring the idea of creating a new low-cost platform within its Eurowings regional carrier.
According to Lufthansa CEO Carsten Spohr, the plans include expanding the Eurowings fleet by adding A320s.
Route plans include flights from London-Rome, which will bring the airline into direct competition with Ryanair and Easyjet.
Lufthansa already operates a budget carrier called Germanwings that flies to over 100 destinations, mainly in Europe.
The announcement comes in the wake of Lufthansa’s recent profit warning.