A high profile British Trade and Industry delegation are in Kuala Lumpur in order to try and boost UK trade and investment in Malaysia. Following BA's decision to quite KL, a member of the delegation was quoted in the local press as saying that the UK government was not particularly happy with British Airways' decision to leave Kuala Lumpur but diplomatically pointed out that the UK government had little say in the matter.
He added that Malaysia Airlines should cease the opportunity to boost their services into the UK which I find rather amusing since MAS has been pushing for a third daily service into LHR for a few years now only to be blocked by the UK CAA.
The local British population in Malaysia are also said to be unhappy with BA's decision to leave as the British make up one of the largest expatriate communities and family members are now forced to fly via Singapore or fly Malaysian. (I guess it depends on the companies footing the bill whether or not they continue to fly BA via SIN or fly MAS now and families with young kids must find the transit a hassle)