Virgin Red report finds loyalty points are reshaping travel habits, with more UK travellers using them to unlock bucket list travel and upgrade experiences despite rising costs. Jenny Southan reports

Loyalty points are becoming a central part of how people plan and pay for trips, with new research from Virgin Red (the loyalty scheme for Virgin Atlantic, Virgin Hotels and Virgin Voyages) showing they are helping to turn “bucket list travel” into a more regular reality.

According to the company’s fourth annual Points Index report, 71% of UK adults say loyalty points have enabled them to book trips that would previously have been out of reach.

The study, titled “Living the Dream Holiday”, highlights how travel has become the main focus for loyalty point spending. In 2025, 82% of all Virgin Points were used on travel, with 31.2 billion points redeemed for flights, holidays and experiences. This marks a 35% increase in points earned and redeemed in the UK between 2024 and 2025, reflecting growing engagement with loyalty schemes.

Participation in these programmes is now widespread. The research, conducted by One Poll in December 2025 among 2,000 UK adults, found that 81% are members of at least one loyalty scheme, while 45% actively collect points as part of their everyday spending. This shift suggests that points are no longer seen as occasional perks but as a form of currency that can be saved and used strategically.

Travel remains the primary goal for most collectors. Nearly three quarters of respondents (74%) say they have paid for part or all of a flight using loyalty points. At the same time, 68% report that their “holiday of a lifetime” was improved through points, whether through upgrades or added benefits.

These enhancements range from practical to experiential. Around 30% of travellers have used points for hotel upgrades, 29% for flight upgrades and 26% for airport lounge access. This indicates that loyalty schemes are influencing not only where people travel, but also the quality of their journey.

The idea of a “once-in-a-lifetime” trip is also changing. The average adult now reports having taken three such trips, while 46% say dream holidays are more achievable than they were ten years ago. This suggests that bucket list travel is becoming more frequent, supported in part by the accumulation and redemption of points.

Despite ongoing financial pressures, consumers continue to prioritise travel. The average UK adult spends £1,300 per year on trips, and loyalty points are increasingly used to extend budgets and access more ambitious destinations. Popular bucket list locations identified in the report include the Great Barrier Reef, the Maldives and Tokyo, alongside destinations such as Hawaii, the Amazon Rainforest and Machu Picchu.

Booking behaviour is often linked to key life events. Milestone birthdays are the most common trigger for major trips, followed by anniversaries, honeymoons and family celebrations. Seasonal trends also play a role, with Virgin Red reporting increased point redemptions during the summer months, including rises of 15% in May, 12% in July and 23% in September.

The research also highlights generational differences in travel preferences. Baby Boomers are more likely to prioritise natural scenery, with 63% citing landscapes as a key motivation. In contrast, Gen Z travellers place greater emphasis on food and drink experiences, reflecting a shift towards more lifestyle-focused travel.

Andrea Burchett, chief loyalty officer at Virgin Red, says: “Loyalty is fundamentally reshaping how consumers think about travel. Trips once seen as ‘once in a lifetime’ are becoming more achievable, as consumers increasingly treat points as a strategic currency.

“Even amid economic uncertainty, points are helping consumers prioritise meaningful travel and it’s loyalty which is helping make it possible.”

The findings point to a broader change in how travellers approach planning and spending, with loyalty programmes now embedded in both daily habits and long-term travel goals. As points continue to accumulate through routine purchases, they are increasingly being channelled into travel experiences that might otherwise remain out of reach.