Scoot key for SIA group if long-haul, low-cost movement takes off

SINGAPORE Airlines (SIA) group, which is already being squeezed by budget airlines on the short-haul routes as well as the Gulf and North Asian carriers on long-haul, now has one more threat to keep an eye on - the long-haul, low cost sector.

From Thursday, Norwegian launches direct budget flights from London to Singapore at a point where the group is planning to scale up the long-haul network of its low-cost arm, Scoot.

Scoot, which started long-haul flights to Greece using its Boeing 787 aircraft in June, plans to launch Honolulu (via Osaka) by year-end. It has also made no secret of its intention to add other long-haul points down the line, likely in Europe. Berlin, Barcelona, Rome or Istanbul have been mooted by market watchers as potential candidates.