A LOYALTY scheme for a coffee chain'sCosta Coffee customers may have been hacked, prompting the firm to reset account passwords.

Costa Coffee Club, which is accessed via an app, may have suffered a security breach yesterday, prompting fears over users' data and passwords.

The club, described as Costa's "little way of saying thanks" - requires people to provide their name, email address, date of birth, phone number and home address.

However, analysts expressed fears that the hackers may have gained access to common passwords, which people use for other accounts.

Costa said just a small number of accounts (0.2 per cent) had been affected by "unusual activity" and they are now implementing a new format for users' passwords.

A spokesperson for the firm said: "We can confirm contact information from a very small number of loyalty card holders was accessed.

"We do not hold any financial data on the Costa loyalty card system. We immediately contacted the customers affected and we are continuing to remain vigilant."