Tesco is set to cut the value of its Clubcard rewards scheme, it has been announced.
The supermarket giant's scheme enables shoppers to collect points when they spend money in store and online, with these then exchanged for vouchers which can then be used in store or at Tesco partner - including lots of restaurants and day trips such as Pizza Express, Legoland and Alton Towers.
Currently, Clubcard points are worth three times their value. However, the points will be worth just two times the amount from June 14, Tesco has confirmed.
In an email to customers, Tesco Chief Customer Officer Allesndra 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".
The boss also said Tesco are to extend the time in which Clubcard rewards will be valid - from six months to 12 months - to allow customers to use points at the higher value before the changes come into force.
Tesco launched their Clubcard loyal scheme nearly 30 years ago in 1995, with customers spending 28 per cent more in stores within a year.
The change comes as fellow retailers Sainsbury's and Boots cut the value of their loyalty scheme.
Boots Advantage Card holders will get 25 per cent less for every £1 they spend in stores from May - earning 3p for each pound rather than 4p.
Sainsbury's Bank made a change back in November, cutting the amount of Nectar points customers could earn by 75 per cent. The change meant customers now earn one point from every £2 instead of two points for every £1 spent.
Following the news, Lisa Byfield-Green, data and insights director at retail industry magazine Retail Week, said: “Just like shoppers, retailers are facing increased costs for energy, transport, goods and raw materials and they are having to decide where to invest and where to cut back. For most retailers, investing in low pricing is priority number one right now to support customers through the cost-of-living crisis.
“Tesco’s Aldi Price Match scheme, Clubcard Prices and Low Everyday Price initiatives are unrivalled in the market, but they also come at a cost.
"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.
“As these difficult economic times persist, retailers will need to continue to review costs, to avoid passing increases on in full to consumers. In turn, customers will also decide what is most important to them.
“We anticipate that there will be a flurry of customers trading in vouchers ahead of the 14 June deadline to receive their 3x rewards.”
Don't miss the latest news from around Scotland and beyond - sign up to our daily newsletter here .
