British Airways announces loyalty scheme changes - will you be better off? - Crypto News

British Airways is overhauling its loyalty programme, with the airline changing how frequent fliers earn travel perks.

BA will change the way customers can accrue Tier Points, in a move which has been branded “hugely positive” for those booking package holidays with the airline and high spending travellers.

However, it could be less good news for some customers who are hoping to get benefits such as free lounge access via the rewards scheme.

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How is British Airways Tier Points system changing?

The British Airways Executive Club will re-brand to The British Airways Club and implement the changes from 1 April, 2025.

Under the new system, members will earn Tier Points based on the cost of their flight and, for the first time, additional spending such as seat selection and excess baggage.

They will be able to earn one Tier Point for each £1 of eligible spend, however, BA is recalculating Tier thresholds.

The Bronze threshold will change from 300 to 3,500. Silver will increase from 600 to 7,500, and gold will rise from 1,500 to 20,000.

Members will be able to earn Tier Points and collect Avios by buying a contribution to Sustainable Aviation Fuels (SAF), earning up to 1,000 Tier Points per year. Avios can be used as a form of payment, via a dedicated landing page which will have launched by 1 April, 2025.

British Airways Holidays customers will also be able to earn Tier Points based on the price of the entire package, with no limit in place.

BA says it will make it “possible to earn elite status in fewer trips than under today’s offer”.

How will British Airways Club members be affected?

Gilbert Ott, founder of travel website God Save the Points, told MoneyWeek: “It’s a net positive for many, but there will be winners and losers.

“A huge positive is that hotel spend booked through British Airways Holidays will count, not just flights, which will help people let more of their travel count towards perks.”

He added: “A high spending traveler will be able to earn more perks in one flight than they may have across an entire year before, but someone flying on the cheapest economy tickets will really need to fly a lot to achieve the higher tiers in the new system. “

While it looks to be good news for corporate travellers with employer-paid tickets, the outlook isn’t as positive for leisure travellers and small business owners, according to Rob Burgess, editor of frequent flyer website Head for Points. He said gold status will “now be very, very difficult, bordering on impossible, for leisure travellers”.

He told MoneyWeek: “The new system is ludicrous for the typical leisure or small business traveller.

“The thresholds are absurd (£7,500 of spend for Silver, £20,000 for Gold) and this isn’t even based on flight cost. It is based on the net fare excluding all taxes and charges, so you need to add 25% (if you usually fly business) or 100% (if you usually fly economy, since those fares are roughly half made up of taxes and charges) to get your ‘real’ spending target.”

The flight rewards expert said under the old system customers could earn a British Airways Tier Point for around £2 of the flight spending, if they were strategic. It meant Bronze status could be gained for £600 (300 points), Silver for £1,200 (600 points) and Gold for £3,000 (1,500 points).

A British Airways spokesperson said: “As part of a re-brand of our loyalty programme, we have introduced more ways than ever before to earn Tier Points, including packages with British Airways Holidays, spend on co-brand credit card and when paying for extras such as seat selection and additional baggage.

“The changes we have announced underline our continued investment in our executive club programme and in our customers, rewarding them for their loyalty.

“This is a similar model used by many other airline loyalty programmes across the world.”

What else is British Airways introducing in 2025?

Later this year, BA American Express Premium Plus Cardmembers will be able to earn up to 2,500 Tier Points by spending on their card.

The airline has also promised new milestone benefits between tiers in 2025. It will start with gifts of 2,500, 4,000 and 5,000 Bonus Avios at milestones within Bronze and Silver, and more benefits will be announced in due course.

Customers who have already booked travel after 1 April will get Tier Points based on a conversion of the existing method, earning proportionally the same number of Tier Points, if not more.

British Airways is offering limited time bonus Tier Points to people booking before 14 February, for travel from 1 April, 2025.

How to get bonus Tier Points

The Bonus Tier Points will be awarded based on the cabin, from Euro Traveller to First.

The bonus Tier Points awards are:

Euro Traveller: 50
Club Europe: 100
World Traveller: 70
World Traveller Plus: 140
Club World: 210
First: 330

What are British Airways Tier Points?

Tier Points are collected by flying on almost all flights with British Airways and the airline’s oneworld partners. They unlock Executive Club benefits.

The more Tier Points you earn, the more benefits you will get as you change tiers.

Tier Points are separate to Avios points; Tier Points can’t be spent on rewards and will reset back to zero each year. Passengers can earn Tier Points and Avios at the same time.

There are four different tiers – Blue, Bronze, Silver and Gold.

You automatically become a Blue Member when you join the British Airways Executive Club – which is rebranding as The British Airways Club.

Currently, you need 300 Tier Points to get to the Bronze tier.

Tier Points are based on a percentage of miles flown and the amount you earn depends on ticket type and fare class.

For instance, BA uses a rate of 100% for First, Business and Premium Economy fares, and 25% for the lowest economy fare.

Under the present system, a passenger flying from London Heathrow to New York JFK on a British Airways economy fare can earn 20 Tier Points, BA’s online calculator shows. They’d earn 210 if they took the same flight in first class.

The same calculator shows passengers flying from London Heathrow to Charles De Gaulle airport in Paris in the lowest economy class can earn five tier points, or 40 as a business class passenger.

As of 1 April, new ways to earn Tier Points will be introduced, and the thresholds will change.

Members will be able to earn one Tier Point for each £1 of eligible spend (which includes the base fare and the Carrier Imposed Charges but not non-airline taxes and fees). The eligible spend would need to be £3,500 within the year to reach the Bronze tier via this route.

When booking a British Airways holidays package and any eligible add-ons, such as seat selection, extra baggage or cabin upgrades, the eligible spend will be the full amount spent.

What benefits do British Airways Tier Points offer?

The type of benefits available depend on the tier – the Blue Tier has the fewest perks, with higher tiers offering more.

British Airways Blue Tier

The benefits of being a Blue Tier member are:

Collecting Avios
Sharing Avios through a Household Account
Member-only offers
Purchasing Avios
Gifting Avios
Transferring Avios (a fee applies for all tiers except Gold)
Combining Avios
Reward Flight Saver – which British Airways says is their best deal on short-haul flights
Access to the Avios mobile app
Priority waitlist
Seating preference stored and offered where possible
Meal preferences stored and offered where possible
Free Wi-Fi messaging onboard

British Airways Bronze Tier

As well as the benefits outlined in the Blue Tier level, Bronze members get:

Free seat selection seven days before departure. This doesn’t include group rate bookings and exit row seats on long-haul flights
Priority check-in (except at London City Airport)
Priority boarding (except at London City Airport)
Status freeze for Maternity/Paternity/Adoption
5% discount on all purchases at The Wine Flyer
Bronze members collect seven Avios per qualifying pound (GBP) spent when flying with British Airways or American Airlines and six Avios per qualifying euro (EUR) with Iberia.

British Airways Silver Tier

In addition to Bronze and Blue benefits, Silver Tier members can enjoy:

Free seat selection at the time of booking. This doesn’t include group rate bookings and exit row seats on long-haul flights
Priority check-in
Priority boarding (except for Silver Members or Sapphire card holders at London City Airport)
Additional baggage allowance (but not on baggage only fares)
Lounge access when flying with British Airways and partner airlines
Reservation Assurance – ensuring an economy seat on the chosen British Airways flight, even if the flight is full
10% discount on all purchases at The Wine Flyer

British Airways Gold Tier

As well as the other benefits in the other tiers, Gold Tier members get:

Free seat selection at the time of booking, except for group rate bookings
Priority check-in
Priority boarding
15% discount on all purchases at The Wine Flyer
Use of British Airways First and other oneworld first class check-in desks
No booking or service fees for Priority Reward bookings
Additional reward flight availability in economy
Gold Priority Reward
Gold Upgrade for Two voucher (at 2,500 Tier Points in one year)
Two Gold Upgrade for One vouchers (at 3,500 Tier Points in one year)
One Gold Executive Club partner card and two Silver cards (at 5,000 Tier Points in one year and 3,000 Tier Points thereafter)
Concorde Room access (at 5,000 Tier Points in one year and 3,000 Tier Points thereafter)