British Airways passengers can trade air miles for iPhones

British Airways (BA) passengers will be able to use air miles to buy iPhones and other Apple products thanks to a ground-breaking pact with the technology giant.

BA’s parent company International Airlines Group (IAG) said the 69 million members of its frequent flyer programme will now be able to buy Apple products, including the £1,199 iPhone 17 Pro Max, which is released on Friday, using Avios points.

Customers will initially be limited to covering 25pc of the purchase price of an item with their points, though that limit will be gradually raised.

The deal with Apple marks a departure from the usual airline loyalty model, under which points are typically accrued by spending on credit cards before being used to purchase flights or other travel-related services.

British Airways plans to use the tie-up with Apple as a marketing tool in the run-up to Christmas as it battles rivals, including Virgin Atlantic, for dominance of the lucrative UK-US market. The Apple deal will be promoted at Heathrow and on flights from next month.

Jack Smith, the chief retail officer at IAG Loyalty, said the collaboration was the first of a number of planned similar deals, with others to be announced in the coming months. The airline group plans to launch an online Avios Shop once a number of agreements are in place.

He said: “People are happy spending Avios on flights, but they also want other ways to use them, especially those who are sitting on large balances, so we’re now looking at more traditional retail in areas adjacent to travel.

“Apple fits the bill with products like mobile phones and AirTags, which help people track their bags, but we’re also looking to partner with some British heritage brands. It needs to be complimentary, so things like luggage. We won’t be selling sofas.”

The deal with Apple follows a successful trial that allowed Avios members to use their air miles to buy wine from online retailer The Wine Flyer.

Frequent flyer programmes play an increasingly important role in generating revenue for airlines. IAG Loyalty contributed 8pc of group revenue in the first six months of 2025, together with an operating profit of £191m. That’s equivalent to more than half the earnings reported at BA sister company Iberia, Spain’s largest airline.

Mr Smith said the deal with Apple would help minimise “breakage” – the industry term for air miles that expire without ever being used.

While once seen as positive since it meant fewer people were getting free flights, he said IAG now took the view that passengers were likely to remain more loyal if they were “continuously engaged” by accruing and spending points in equal measure.