I can definitely see your point now that the flights are T1, the difference does seem to have lessened.
I think the bottom line is that the seats, network, consistency of service are, IMO, far superior to LY.
Also, as a Gold member, you have, as also mentioned, the soft benefits, with the higher priorities, etc. Finally, not forgetting the great service (again, in my experience) from the Tel Aviv BA office - I find it be far more personal and efficient than anything I received from LY.
Now, if only redemption availability in Club would open up again.......