British budget airline Easyjet has reached a deal with Schiphol airport to allow it to base at least three aircraft permanently in Amsterdam, boosting its capacity and destinations.

Easyjet says the deal will create 400 jobs in the Netherlands, cut ticket prices and allow the company to expand its 40-strong destination network from Schiphol. The move is a ‘frontal attack’ on Dutch flag carrier KLM, the Telegraaf says.

Analysts told the paper the move is significant because Easyjet is a strong foreign airline which is not involved in Schiphol’s development as an air traffic transfer hub.

Easyjet’s director Carolyn McCall is quoted by the paper as saying passenger numbers to and from Amsterdam will double from their present total of 3.5 million a year. Around one-third of these are business travellers.