Refer a Friend Offers in the UK: How Referral Rewards Work

Refer a Friend schemes reward you for introducing someone else to a product or service you use.

Depending on the provider, you might receive cash, account credit, shopping vouchers, loyalty points or a discount when your friend becomes a qualifying new customer.

Some schemes reward only the person making the referral, while others give both people a benefit.

Referral offers are available across different industries, including banking, utilities, retail, food, mobile services and online subscriptions.

The important thing is to understand the conditions before sharing a link or code. Your friend may need to complete a purchase, make a payment, switch a service or remain a customer for a set period before either of you receives a reward.

This guide explains how Refer a Friend schemes work, where to find UK opportunities and what to check before making a recommendation.

What is a Refer a Friend scheme?

A Refer a Friend scheme is a promotional arrangement where an existing customer introduces someone new to a business.

The provider gives the existing customer a unique referral link, code or another way to share the offer. When the new customer uses it and meets the qualifying conditions, the provider issues the advertised reward.

For example, a bank might offer an existing customer £50 when a friend opens an eligible account using their referral link and completes the required actions.

The friend might also receive a welcome reward, but this depends on the scheme.

Referral rewards can take several forms:

• Cash payments: Money paid to you after the qualifying conditions are met.
• Account credit: Credit added to your account for future use with the same provider.
• Shopping vouchers: A voucher or gift card for a retailer or service.
• Discounts: A reduction on your next bill, order or subscription payment.
• Loyalty points: Points that can be exchanged for rewards or discounts.
• Free products or services: An additional product, feature or service benefit.

Some providers offer a one-sided reward, where only the referrer benefits. Others use a two-sided arrangement, where both the referrer and the new customer receive something.

Check who receives the reward and what each person must do before recommending a product to someone else.

How do Refer a Friend schemes work?

Every provider has its own process, but most referral schemes follow a similar structure.

1. Find your referral link or code

Sign in to your account and look for a Refer a Friend, referrals or invite section.

The provider should show you a unique link, code or sharing option connected to your account.

2. Check the current offer

Read the reward amount, eligibility requirements, qualifying actions and any deadlines.

Referral promotions can change, so do not rely on an offer you saw in an older email, article or social media post.

3. Share the offer with your friend

Send the referral link or code directly to someone you know who may genuinely be interested in the product or service.

Your friend should check whether the product is suitable for them rather than joining only because a reward is advertised.

4. Your friend registers or applies

Your friend uses the referral route to create an account, place an order or apply for the service.

They must usually be a new customer and meet the provider's eligibility requirements.

5. The qualifying conditions are completed

Depending on the scheme, your friend may need to:

• Make a first purchase.
• Spend a minimum amount.
• Deposit or pay in money.
• Complete a service switch.
• Activate a subscription.
• Remain a customer for a particular period.
• Complete a set number of transactions.

6. The provider verifies the referral

The provider checks that the referral was tracked correctly and that both people met the relevant conditions.

7. The reward is issued

Once approved, the provider pays the reward to the referrer, the new customer or both, depending on the scheme.

Payment may take days, weeks or longer. A referral showing as pending does not mean the reward is guaranteed.

6 kinds of Refer a Friend offers to explore

1. Banking and payment referrals

Some banks and payment providers offer referral rewards when an existing customer introduces a new customer.

These promotions may pay cash, account credit or another benefit after the friend opens an eligible account and completes the required actions.

For example, Starling Bank has previously offered a limited-time Refer a Friend promotion giving both the existing customer and the new customer a National Trust day pass after the new customer became a Starling customer and completed the qualifying steps. Promotions like this can change or end, so check the provider's current terms before sharing a referral.

How you get rewarded: Usually through cash, account credit or another promotional benefit.

May suit you if: You already use the provider and know someone who is genuinely interested in the product.

Keep in mind: Your friend may need to verify their identity, make a deposit, receive payments or keep the account active. Check whether the reward depends on additional actions and never encourage someone to open a financial product that is not right for them.

Read the Starling Bank Refer a Friend terms.

2. Retail and shopping referrals

Some online retailers offer referral rewards when you introduce a new customer who places a qualifying first order.

The referrer might receive account credit, a voucher or a discount, while the friend may receive a first-order discount.

For example, Huel currently operates a Refer a Friend programme where the friend receives £15 off a first order of at least £60, while the referrer receives a £15 voucher once the order ships. The exact reward and conditions can change.

How you get rewarded: Usually through account credit, vouchers or discounts.

May suit you if: You regularly buy from the retailer and know someone who already wants to try its products.

Keep in mind: Check minimum order values, excluded products, voucher expiry dates and whether the referral discount can be combined with other promotions.

Read the Huel Refer a Friend terms.

3. Utility and energy referrals

Energy suppliers and other utility providers sometimes offer rewards when an existing customer introduces a new customer who switches to an eligible tariff or service.

These schemes may provide account credit or cash once the switch is complete and any required payments have been made.

For example, E.ON Next currently offers £50 each to the existing customer and the friend when the friend switches both gas and electricity, or £25 each for a single fuel switch, subject to eligibility and the switch completing successfully. The provider's current terms apply.

How you get rewarded: Usually through account credit or a payment after the qualifying switch.

May suit you if: You are happy with the service and your friend has already compared tariffs and found the provider suitable.

Keep in mind: Your friend should compare the total energy cost, not just the referral reward. Check tariff prices, contract length, exit fees and payment arrangements before recommending a switch.

Read the E.ON Next Refer a Friend terms.

4. Mobile and broadband referrals

Mobile networks and broadband providers sometimes reward existing customers for introducing new customers to eligible plans.

Rewards may include bill credit, shopping vouchers or cash, depending on the provider and product.

How you get rewarded: Through bill credit, vouchers or another promotional benefit.

May suit you if: You use the service yourself and know someone who is already planning to change provider.

Keep in mind: Check contract length, monthly charges, price rises, coverage, installation costs and early exit fees. A referral reward does not make an unsuitable or expensive contract worthwhile.

5. Subscription and app referrals

Subscription services, apps and online platforms sometimes offer referral rewards to encourage existing users to invite others.

The reward could be account credit, a free month, loyalty points, a discount or another benefit.

How you get rewarded: Through account credit, subscription discounts, points or promotional features.

May suit you if: You already use the platform and know someone who would benefit from it.

Keep in mind: Check whether the reward is cash or restricted credit, whether it expires and whether your friend must remain subscribed for a minimum period.

6. Monzenta referral opportunities

Monzenta may introduce its own referral programme separately from the third-party offers discussed in this guide.

If introduced, its reward, eligibility requirements, qualifying actions and payment conditions will be set out in dedicated Refer a Friend terms.

Do not assume that Monzenta currently operates an active referral promotion or that it uses the same reward structure as other providers.

What should you check before referring someone?

A referral reward can look simple, but the conditions often determine whether either person receives anything.

Who receives the reward?

Check whether the scheme rewards:

• Only the existing customer.
• Only the new customer.
• Both people.

If both people receive a reward, check whether the amounts and conditions are the same.

What must the new customer do?

Your friend may need to complete more than a simple registration.

Common requirements include:

• Opening an eligible account.
• Verifying their identity.
• Making a first purchase.
• Spending a minimum amount.
• Depositing or paying in money.
• Completing a switch.
• Paying a bill or subscription.
• Remaining a customer for a set period.

Make sure your friend understands these requirements before using your link.

Is there a time limit?

Some referral offers must be completed within a particular number of days.

Check when the link expires, how long your friend has to complete the qualifying action and when the reward is expected to be paid.

Is there a referral limit?

Many schemes limit the number of people you can refer or the total rewards you can receive.

Check the maximum number of referrals, any annual cap and whether the limit resets.

Can the reward be withdrawn?

Not every referral reward is paid as cash.

Check whether you receive:

• Money paid to your bank account.
• Credit that can only be used with the provider.
• A voucher for a particular retailer.
• A discount on a future bill or order.
• Loyalty points with redemption restrictions.

A £50 account credit is not the same as £50 you can withdraw and spend elsewhere.

What happens if the order or application is cancelled?

If your friend cancels, returns a purchase, fails a credit check or does not complete a switch, the referral may not qualify.

Check whether rewards can be reversed if the qualifying transaction is later cancelled.

How to share referral links responsibly

Referral schemes are designed for genuine recommendations. Sharing links irresponsibly can breach the provider's terms, annoy other people or create legal and regulatory problems.

Recommend products you genuinely know

Only refer people to products or services you have used or properly researched.

Your friend should decide whether the product is right for them based on its features, costs and risks, not just the referral reward.

Be clear that you may receive a reward

If you share a referral link publicly, make it clear that you could receive a benefit if someone uses it.

The Advertising Standards Authority expects people to make it obvious when content is advertising or includes an affiliate or referral arrangement. A label such as "ad" may be needed where you have been paid or otherwise incentivised to promote a product.

Do not hide the commercial benefit or present a referral as an independent recommendation.

Read the ASA guidance on affiliate marketing and its influencer guide to making clear that ads are ads.

Do not send unsolicited marketing messages

Sending a referral link to a friend who is likely to be interested is different from sending bulk promotional messages to strangers.

Electronic marketing rules can apply to promotional emails and text messages. Do not buy contact lists, scrape email addresses or send unsolicited referral messages at scale.

The Information Commissioner's Office says businesses need consent for most electronic marketing messages. If you are promoting referral links as a business or affiliate, check the ICO guidance on direct marketing and electronic communications.

Follow the provider's sharing rules

Some providers prohibit posting referral codes on coupon websites, public forums or paid advertising.

Others may allow public sharing but restrict misleading claims, spam or self-referrals.

Check the terms before sharing your link anywhere other than directly with people you know.

Do not create fake accounts or self-refer

Creating duplicate accounts, using false details or referring yourself can breach the provider's terms.

Rewards may be cancelled and accounts may be restricted or closed.

Are Refer a Friend schemes safe?

Many established UK businesses operate legitimate referral programmes, but there are still risks to understand.

Check the product before recommending it

A referral reward should not be the reason someone opens a bank account, switches energy supplier, starts an investment or signs a contract.

Encourage your friend to compare the product properly and check whether it is suitable for their circumstances.

Be careful with financial products

If a referral involves an investment, loan, insurance product or other regulated financial service, check the provider and its relevant permissions using the FCA Firm Checker.

A referral reward does not reduce the risks of the underlying product.

Never receive or move money for someone else

Be cautious of any arrangement where someone asks you to receive money into your account and transfer it elsewhere in return for a payment or reward.

This can be money muling, which is a form of money laundering. Criminals sometimes use apparently attractive offers to recruit people into moving stolen money.

The National Crime Agency warns that acting as a money mule can lead to your bank account being closed, difficulty obtaining credit and possible criminal prosecution.

Never share your bank login details, let someone else control your account or transfer money you do not understand. Read the NCA guidance on money muling.

Watch for fake referral promotions

Scammers may imitate genuine referral schemes to collect personal information or payments.

Check the provider's official website or app before using a referral link. Be cautious of messages that pressure you to act immediately, ask for unnecessary personal details or require an upfront payment to release a reward.

Do you pay tax on referral rewards in the UK?

There is no single tax rule that applies to every referral reward.

The treatment can depend on what the reward is, why it was paid, how often you receive referral income and whether the activity amounts to a trade or business.

An occasional reward for introducing a friend to a service you use may be treated differently from regular promotional income earned through a website, social media account or affiliate arrangement.

If you regularly receive cash, vouchers or other benefits for promoting products, HMRC may consider whether the income is taxable. The trading allowance may be relevant for small amounts of casual or trading income, but it does not automatically make every referral reward tax-free.

Keep records of referral rewards, especially where you receive cash or regularly promote products online. Check HMRC guidance on other taxable income and the trading allowance, or seek individual tax advice if you are unsure.

Are Refer a Friend offers worth it?

Referral schemes can be worthwhile when you genuinely use a product or service and know someone who may benefit from it.

They can provide cash, credit, vouchers or discounts for both people without requiring either of you to buy something unnecessary.

However, the reward should not override the suitability of the product.

Before referring someone, consider:

• Whether the product is genuinely right for them.
• What they must spend or do to qualify.
• Whether the reward is cash or restricted credit.
• How long the reward takes to arrive.
• Whether there are referral limits or deadlines.
• Whether the provider's terms allow you to share the link in the way you intend.

The best referral is one where both people benefit and the new customer would have considered the product anyway.

If you are exploring other reward opportunities, you can also look at cashback, sign-up bonuses and Bank Switch Offers.

Frequently asked questions

What is a Refer a Friend offer?

A Refer a Friend offer is a promotion where an existing customer receives a reward for introducing a new customer to a business. Depending on the scheme, the new customer may also receive a welcome reward.

How do I find my referral link?

Sign in to your account and look for a referrals, Refer a Friend or invite section. The provider should show your unique link, code or sharing options if a scheme is available.

Does my friend have to buy something for me to get a reward?

Often, yes. Many schemes require the new customer to make a purchase, open an account, complete a switch or meet another qualifying condition. Check the exact requirements before sharing your link.

Can I refer someone who already has an account?

Usually not. Most schemes are limited to new customers. Some providers also apply restrictions based on previous accounts, household details, addresses or payment information.

Can I post my referral link online?

It depends on the provider. Some allow public sharing, while others restrict links to personal recommendations or prohibit posting codes on coupon websites and forums. If you share a link publicly, make clear that you may receive a reward.

How long does a referral reward take to arrive?

It varies by provider. Some rewards are issued soon after the qualifying action, while others are paid after verification, a completed switch, a return period or a minimum account period. Check the advertised payment timescale.

Can a referral reward be cancelled?

Yes. A provider may decline or reverse a reward if the referral was not tracked, the conditions were not met, the order was returned, the account was closed or the terms were breached.

Are referral rewards taxable in the UK?

It depends on the nature of the reward and how regularly you receive referral income. Occasional personal referrals may be treated differently from regular promotional or affiliate income. Check HMRC guidance if you are unsure.

Is it safe to share my referral code?

Sharing a genuine referral code from an established provider is generally safe, but follow the provider's terms and avoid spam or misleading promotion. Never share your account password, bank login details or one-time security codes.

Can I refer myself using a second account?

No. Self-referrals and duplicate accounts usually breach the provider's terms. Rewards may be cancelled and your accounts may be restricted or closed.

Explore more Offers & Rewards

Refer a Friend schemes are one way to access rewards, but there are other opportunities to explore.

• Discover cashback offers
• Discover sign-up bonuses
• Compare Bank Switch Offers
• Explore the Monzenta Planner

Monzenta helps you explore and compare different ways to improve your finances. Referral rewards, eligibility, qualifying actions and payment are subject to each provider's terms. Rewards are not guaranteed, and you should never encourage someone to buy or apply for a product that is not suitable for them.