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With hindsight, selling GO wasn’t the best plan.
However, at the time, BA needed the cash for investment and it was pragmatic to focus on the core “premium” offering in which BA specialises. It was also Stansted based, which wasn’t ideal, being even more of a backwater then than is the case now.
I seem to recall, though may have misread, that formerlyDoS was involved in the transaction in some way when he had a desk in BA’s Viscount House offices next to T1 and spent twelve months on various pieces of work at British Airways. It may have been another poster, either way was under NDA.
I’m not certain BA has ever actually made “cutbacks” in its slot use at LGW, which was never as slot constrained as LHR is; BA simply ended a franchise agreement with GB Airways and EasyJet took those routes. up.