PayPal has launched a new unified loyalty programme, offering British customers the chance to earn points on both online and high street transactions.

Consumers can sign up for PayPal-plus for free through the payment platform's mobile app and redeem points when making purchases via PayPal online. As shoppers accumulate more points, they'll unlock more "tiers", PayPal explained, granting access to more perks. The payment giant is also introducing a debit card for users, which can be connected to the loyalty programme to maximise points earned.

This new debit card will connect directly to the PayPal wallet and may be used wherever Mastercard is accepted, PayPal confirmed.

The debit card will become available in the coming weeks through the PayPal app and can be added to make contactless payments with a smartphone.

The company's buy now, pay later service, dubbed "pay in three", will also qualify for PayPal-Plus points.

Customers using the PayPal debit card will accumulate 10 points for every £10 of spending. Each point is equivalent to 1p for spending.

Those earning points through alternative methods, including PayPal balance, PayPal credit card and PayPal pay in three, will earn one point for every £10 spent.

Tamer ElEmary, general manager of PayPal UK, said: "Our investment reflects a deep commitment to British consumers, businesses, and communities."