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RYANAIR chief executive Michael O'Leary is considering charging passengers to check luggage into the aircraft's hold as part of his bid to keep fares low.

Charging for hold luggage would bring in extra revenue for the low-cost carrier and allow it to offer cheaper or even free flights. It would also encourage people to travel lighter eliminating the need for baggage handlers and paying out for lost luggage.

Speaking exclusively to Travel Weekly, O'Leary said: "We are always trying to find ways to make our business more efficient. One way to do this is to reduce the number of bags people check in. We could then make the fares free - particularly during quiet times such as Thursday afternoons in November. But we would charge for hold luggage instead."

O'Leary said he was also looking at asking passengers to buy a £5 voucher for on-board snacks, and selling space on overhead lockers for advertising.

Meanwhile the low-cost carrier aims to start services to Spain within two years as well as creating bases in Italy, Scandinavia and a second base in Germany.