Rewards credit cards let you earn points, miles, or perks on every pound you spend. In 2026, the best UK rewards cards offer significant sign-up bonuses, generous ongoing earn rates, and valuable redemption options — from flights and hotels to shopping vouchers and cashback. Here’s how to find the card that suits your lifestyle.
Types of Rewards Credit Cards
Before comparing cards, it helps to understand the main reward types available in the UK:
- Points cards: Earn transferable points (e.g., Amex Membership Rewards, HSBC Rewards) that can be converted to airline miles, hotel points, or other rewards
- Airline miles cards: Earn miles directly with a specific airline (e.g., British Airways Avios, Virgin Atlantic Flying Club)
- Hotel points cards: Earn points with hotel loyalty schemes (e.g., Marriott Bonvoy, IHG Rewards)
- Retail rewards: Earn vouchers or points with specific retailers (e.g., John Lewis, Tesco Clubcard)
Best Rewards Credit Cards UK 2026
| Card | Welcome Bonus | Earn Rate | Annual Fee | Best For |
|---|---|---|---|---|
| Amex Preferred Rewards Gold | 20,000 points (after £3k spend in 3 months) | 1 point per £1 | Free yr 1, then £195 | Flexible points + travel perks |
| British Airways Amex | 5,000 Avios (after £1k spend in 3 months) | 1 Avios per £1 | None | BA frequent flyers |
| BA Amex Premium Plus | 25,000 Avios (after £3k spend in 3 months) | 1.5 Avios per £1 | £250/year | High spenders flying BA |
| Virgin Atlantic Reward | 2,500 miles (after £1k spend in 90 days) | 0.75 miles per £1 | None | VS frequent flyers |
| Tesco Bank Clubcard | None | 1 pt per £4 in Tesco, 1 pt per £8 elsewhere | None | Regular Tesco shoppers |
The Amex Preferred Rewards Gold: Best All-Rounder
For most people new to rewards cards, the Amex Preferred Rewards Gold is the best starting point. It’s free in year one, offers a generous welcome bonus, and earns Membership Rewards points — the most flexible rewards currency available in the UK, transferable to over 15 airline and hotel partners including British Airways, Virgin Atlantic, Marriott, and Hilton.
After year one, the £195 annual fee needs to justify itself. Given it includes 2 free lounge visits per year (worth ~£40), a monthly Deliveroo credit of £5 (£60/year), and ongoing strong earn rates, high spenders typically find it worthwhile. If not, downgrade to the free Amex Everyday card.
British Airways Avios: Best for Regular UK Flyers
If you fly British Airways, Iberia, or their partner airlines regularly, the free British Airways American Express card is a no-brainer. There’s no annual fee, and the Avios you earn can be used for flights, upgrades, and hotel stays. Collect 25,000 Avios on the card per calendar year and you’ll earn a companion voucher — allowing a second person to fly for just taxes on any Avios booking.
Are Rewards Cards Worth the Annual Fee?
A rewards card with an annual fee is only worth it if the value of rewards you earn exceeds the fee. Here’s how to calculate it:
- Estimate your annual spend on the card
- Multiply by the earn rate to calculate your points/miles earned
- Value those points/miles (Avios are typically worth 0.8–1.5p each, Amex points 0.8–2p+ depending on redemption)
- Add any card perks (lounge access, travel insurance, credits)
- Subtract the annual fee — if positive, the card is worth it
Rewards vs Cashback: Which Should You Choose?
Rewards cards can offer better value than cashback cards when points are redeemed well — particularly for premium cabin flights, where Avios or points can be worth significantly more than their cash equivalent. However, they require more management and effort. If you prefer simplicity, a cashback card is hard to beat.
Many experienced cardholders use both: a rewards card for everyday spending and a cashback card as a backup for merchants that don’t accept Amex.
Important Rules for Rewards Cards
- Always pay in full: Interest charges will always exceed the value of rewards earned
- Meet the welcome bonus spend: These are usually the most valuable rewards you’ll earn — don’t miss them
- Don’t apply for too many cards at once: Multiple applications in a short period can hurt your credit score
- Check Amex acceptance: Some merchants don’t accept Amex; keep a Visa/Mastercard as backup
Bottom Line
The best rewards credit card in 2026 depends on your spending habits and travel aspirations. For flexibility, the Amex Preferred Rewards Gold is the top choice. For BA flights, the British Airways Amex is unbeatable. Whatever you choose, use it for your regular spending, pay it off in full every month, and the rewards will add up faster than you expect.