A new app is offering borrowers the chance to earn an average of £1,000 a year in cashback on mortgage repayments, household bills and shopping.

Mortgage Miles is set to launch in mid September and promises customers the ability to earn cash rewards on essential bills like their home loan repayments, rent, pension contributions, life insurance premiums, gas and electricity bills, mobile and internet costs, home and car insurance.

In line with existing cashback websites, customers will also be able to earn rewards on spending at shops and restaurants.

The app says it has already been approved to function with Visa, Mastercard and American Express payments.

So far, its retail partners includeTravis Perkins, ScrewFix, Toolstation, Homebase, British Gas, Ovo Energy, Starling Bank, Morrisons, Iceland and Marks & Spencer.

Mortgage Miles director Nick Chambers adds: “[The app] operates by a proportion of the merchant online and in-store affiliate commission being returned to Mortgage Miles’ members as an ongoing reward. 

“This ongoing reward value is then ‘topped up’ by regular promotions from participating partners: card schemes, banks and mortgage brokers in exchange for direct advertising to members of the Mortgage Miles programme.”

Fidel head of business development for Europe, the Middle East and Asia Sina Saidinayer says: “Thanks to the integration with Fidel API, MortgageMiles.com offers merchants and retailers an easy route to launch a state-of-the-art new cashback and loyalty program focusing on the future financial wellbeing of their customers.”