Homebase’s new owner Wesfarmers will end the retailer’s partnership with rewards programme Nectar to focus on “everyday low prices”.

The home and DIY retailer will leave Nectar’s loyalty programme at the end this year after a seven-year partnership.

A statement from the retailer said: “Following a successful seven-year partnership, and after careful review, it has been agreed that Homebase will leave the Nectar programme at the end of the year. This means customers will no longer be able to collect or spend points in store after December 31, 2016.

“Our priority now is offering customers everyday low prices across a wider range of home and garden improvement products.”

This will be a blow for Nectar, whose other retail partners include Asos and Sainsbury’s, which recently halved the number of points shoppers were awarded for purchases.

Since being acquired by Wesfarmers for £340m in January, Homebase has undergone a raft of changes, including culling its leadership team in March and axing 20% of its head-office jobs in April.

The retailer, whose stores will be rebranded to the Bunnings fascia over the next three to five years, has also started opening at 7am on weekends in an effort to compete with rival B&Q. It also launched a new marketing strategy with the strapline “Low prices every day”.