London Daily

Focus on the big picture.
Tuesday, Sep 29, 2026

Tesco to cut the value of Clubcard rewards scheme

Tesco to cut the value of Clubcard rewards scheme

Tesco has announced it is cutting the value of its Clubcard rewards scheme.

From 14 June, Clubcard points will be worth twice their value when customers cash them in, rather than three times as they are now.

The scheme enables shoppers to collect points for money spent at Tesco and exchange them for vouchers which can be used in store or for restaurant meals and day trips.

Sainsbury's and Boots also cut the value of loyalty schemes recently.

Some Tesco customers reacted with disappointment to the grocer's announcement, pointing out it came as supermarket prices were rising.

Jason Murray, from Stockport, said the perks offered by Tesco's Clubcard were the "only reason" he shopped at the supermarket.

He told the BBC from 14 June he will switch to Aldi and Lidl after thinking about it and comparing prices in recent months.


"I don't quite think they understand how much of an attraction their Clubcard is to their customers," he said.

"The customer is key and in my opinion holds all the cards. What I will lose via Clubcard I will gain via cheaper shopping."

One woman tweeted that Tesco's Clubcard scheme had "kept me shopping with you but now with your prices soaring and the announcement about the points changes I'll be looking elsewhere".

Another said reducing the rewards by a third made them "pretty redundant tbh [to be honest], hardly a reward at all".

In a message to customers, Tesco's chief customer officer Alessandra Bellini said the move would "make sure we can continue to provide you with a wide range of exciting rewards, whilst keeping our product prices low".

She also said the company was extending the time period that Clubcard rewards would be valid for up to 12 months, rather than six in order for shoppers to use points at the higher value before the changes come in.

The grocer first introduced Clubcard in 1995 and within a year, customers were spending 28% more in its stores. The popular scheme enables points to be spent at the likes of Pizza Express, Legoland and Alton Towers.

When Tesco last changed its loyalty scheme, dropping the value of some rewards and raising others, customers responded angrily to the move which was implemented immediately.

The grocer is not the only retailer to have made its rewards scheme less generous recently.

From May, Boot's Advantage Card holders will get 25% less for every £1 they spend in store, earning 3p rather than 4p.

In November, Sainsbury's Bank cut the amount of Nectar points customers could earn by 75%, from two points for every £1 spent, to one point for every £2.

Commentators say there has been a shift to instant discounts for cardholders rather than rewards for points collection across various retailers.

That allows companies to continue to collect valuable data about spending habits, while keeping their own costs down.

Differential pricing also allows companies to push their own-brand products, and have branded products supplied cheaper, to enhance profits.

Lisa Byfield-Green, data and insights director at trade magazine Retail Week, said just like households, supermarkets were facing increased costs and were "having to decide where to invest and where to cut back".

She said Tesco's Aldi price match scheme, Clubcard prices and Low Everyday Price initiatives had "come at a cost" for the business.

"As costs spiral, Tesco has already cut jobs at its head office and reduced the number of managers in its stores. It has closed service counters and at the same time will grant shop workers their third wage increase of the year next month."

Newsletter

Related Articles

0:00
0:00
Close
Metropolitan Police Rule Out Terrorism in Golders Green Stabbing Investigation
Lithium-Ion Battery Identified as Cause of Fatal Merseyside House Fire
UK Department Rejects New Sea Use Framework Due to Stakeholder Fatigue
Major Thames Water Pipe Burst Causes School Closures in London
Aldi Commits £900 Million to Expand UK Supermarket Network
Scottish Affairs Committee Warns Skills Shortages Threaten Defence Sector Expansion
Parliamentary Committee Warns Northern Ireland Budget Deadlock is Stalling Economic Growth
NHS Hospitals in England Face Severe Shortages of Essential Medications
Home Secretary Signals Major Overhaul of UK Immigration and Leave to Remain Policies
Chancellor Promises New Job Schemes Alongside Strict Fiscal Discipline
Energy Secretary Proposes Taxpayer-Funded Green Transition and National Electricity Grid
UK Government to Renationalise Avanti West Coast Railway Franchise in March
Prime Minister Andy Burnham Pledges Major Social Care and Infrastructure Reforms
Five Suspects Released on Bail Following Alleged Bomb Plot Near RAF Fairford
UK Diesel Prices Hit Record High of 199p Per Litre
Transport for Wales and Network Rail Complete Electrification of South Wales Metro
Defra Expands Incentives for Sustainable Farming and Biodiversity in England
Northern Ireland Executive Approves Funding Package to Resolve Public Sector Pay Disputes
Universities UK Warns of Financial Insolvency Risks for Higher Education Institutions
UK Prisons Activate Emergency Protocols to Manage Capacity Pressures
UK Government Establishes New Safety Standards for Frontier AI Models
Home Office Tightens Skilled Worker Visa Requirements and Dependent Rules
Ministry of Defence Restructures Royal Navy Frigate Procurement to Prevent Overruns
UK Government Mandates New Housing Targets to Address National Shortage
UK and Scottish Governments Reach Agreement on North Sea Energy Transition
NHS Launches Digital Overhaul to Reduce Surgical Backlogs in England
Bank of England Holds Interest Rates as Service Sector Inflation Persists
UK Chancellor Announces Fiscal Consolidation Measures to Stabilize National Debt
RNLI Chief Executive Condemns Misinformation and Abuse Targeting Volunteer Crews
Metropolitan Police Charge Swindon Man with Assisting Foreign Intelligence Services
British Intelligence Report Warns Environmental Collapse Threatens Global Defense Infrastructure
Conservative Party Rejects New Taxes to Fund UK Social Care Reforms
Labour Government Signals Intent to Ease Residency Restrictions for Foreign Care Workers
Prime Minister Andy Burnham and Norwegian Prime Minister Jonas Støre Meet to Strengthen North Atlantic Defense
UK Government Plans to Revive Equity Loan Scheme to Assist First-Time Home Buyers
Prime Minister Andy Burnham Pledges Radical Reform for UK Utilities and Social Care
UK Treasury Prepares Difficult Autumn Budget Amid High Debt and Energy Volatility
Civil Aviation Authority Launches Review of Air Traffic Systems Following Digital Failure
X Reports First Increase in UK Revenues Following Advertiser Boycott
Shetland Islands Council Approves £400 Million Inter-Island Tunnel Project
Foreign Secretary Ed Miliband Warns Iran Against Hostile Activities on British Soil
UK Ministers Concede Chagos Islands Sovereignty Agreement Terminated After US Opposition
More in Common Poll Projects Hung Parliament with Labour Leading and Reform UK Gains
Prime Minister Andy Burnham Defends Economic Strategy as Public Finances Face Headwinds
Tony Blair Urges Government to Set Long-Term Goal of Rejoining the European Union
Prime Minister Andy Burnham Pledges Universal Free Social Care Funded Through General Taxation
UK Diesel and Petrol Prices Surge Near All-Time Highs Amid Middle East Energy Volatility
Analysis of Reform UK conference highlights deep political divisions over welfare and immigration
Bangladesh garment exports to the United Kingdom reach $915 million in early fiscal year
Royal Navy begins sea trials for new HMS Agamemnon hunter-killer submarine
×