The retail giant confirmed that from Monday 9 May, it will no longer accept applications for its Partnership Card which is currently provided by HSBC UK.

But from summer, it will relaunch the Partnership Card with a new partner – NewDay – and will resume applications.

John Lewis said there are “no immediate changes” for existing customers who can continue to spend on their cards, collect points and receive reward vouchers three times a year.

It will write to Partnership Card customers this summer to share more details and explain the change in credit platform.

It added that the new Partnership Card will have the same rewards.

The credit card was launched in 2004 and currently offers 1.25% back on every pound spent at John Lewis and Waitrose. Over the last five years, customers have received £230m in vouchers to spend at the department store and its grocery arm.

In September 2020, John Lewis confirmed to YourMoney.com that changes would be made to its Partnership Card. Customers saw an increase in points spent at the two brands, but points for credit card spends elsewhere were slashed.

Amir Goshtai, director of John Lewis Financial Services, said: “Our Partnership Card has been our flagship product for many years and is loved by so many of our customers. That’s why we’re investing in relaunching it with new digital services to help customers in the moments that matter.

“We’re delighted to be partnering with NewDay, who are known for their highly flexible and innovative products.

“Together we’ll continue to offer the gift voucher rewards our Partnership Card customers love and develop new products and services for existing and new customers. There’s no immediate change for current customers, who can continue to use their card and collect points as normal, and we’ll write to them this summer about the change.”

John Hourican, CEO of NewDay, said: “We’re excited to be partnering with John Lewis on the relaunch of their Partnership Card. NewDay has a track record of over 20 years of underwriting, and our proprietary credit decisioning capabilities allow us to responsibly say ‘yes’ to more customers, which will enable even more John Lewis customers to enjoy the much-loved Partnership Card rewards.”

Last August, John Lewis launched its first investment products with Nutmeg, and has over £16m in assets under management.

This year in February, it scrapped its ‘Never knowingly undersold’ promise as it pledged £500m investment as part of its ‘Quality & Value’ campaign across in-store and online prices.