Tastecard has announced plans to take on Deliveroo, Uber Eats, and Just Eat with a new takeaway delivery and collection service, with a permanent discount of at least 10%.

The company behind the card - which charges a monthly subscription in exchange for restaurant discounts - said it would launch the service next month.

Deliveries will begin in London before rolling out to Birmingham, Cardiff, Liverpool, Manchester and Newcastle, with the aim to expand to 25 UK cities by January. Collections will be nationwide from the launch date.

More than 1,000 restaurants have signed up to the service so far, which will use DPD-owned courier Stuart to handle deliveries, and lower commission fees than rivals.

It will launch initially on 1 September for more than 2.5 million Tastecard members, who will not have to pay a service fee, and will open up to non-members on 21 September.

Restaurants will offer customers a minimum of 10% off their order price, with the option to increase the discount to promote more trade.

Tastecard says the service will support the restaurant sector - which is struggling in the wake of the coronavirus lockdown and social distancing rules that establishments must follow now that they have been allowed to reopen.

Under its scheme, Tastecard will charge restaurants a commission of 5-7% and they will also have to offer the discount, which it says compares with a 30% commission often charged by rivals.

Matt Turner, Tastecard co-founder and CEO, said: “Supporting restaurants, by encouraging diners, has never been more vital and we’re proud to throw our hat into the delivery ring.

“Our aim has not changed at Tastecard: We want to support the industry with lower fees and a service model made to reflect how restaurateurs want to do business, combined with a better value proposition for customers, to reward them for being the backbone of our hospitality industry.

“We hope that our competitor set follow suit to offer customers better value.”