Ryanair always said they were going to increase baggage fees, so they have nothing to do with fuel costs. When Ryanair spends all its time using agents to handle its aircraft, rather than staff, of course it wants to save money paying the agents to handle your bags. If you can wheel a 10kg bag into the cabin and lift it into the overhead locker, you will save time not having to retrieve it after the flight. Can you live for a few days with the contents of a smaller bag – just a few T-shirts etc if you are going on holiday. If you are going to a wedding, OK, you need a suitcase.
If BA used the Ryanair policy, the mess at T5 would have been avoided if people had be travelling with just hand luggage.
Solution to T5 problems: BA moves out of T5, and Ryanair moves in.