Today Avios announced on the world that they would eliminate their cheapest redemptions for redemptions on services to/from/within the US.
The only flights that are affected are those under 650 miles in distance. Starting 2nd February 2016 the price will go up from 4500 to 7500 Avios per sector in economy class, and from 18000 to 30000 Avios in first class.
Let's not kid ourselves though, paying 7500 Avios per sector (plus taxes – typically around $6USD) on a flights that could regularly cost over $200 is still extraordinary value. It's just less extraordinary than before.
The ramifications are pretty far-reaching. For instance, a 650 mile radius drawn around Miami captures many Caribbean holiday-seeker destinations including the Cayman Islands, Haiti, The Bahamas, Cancun (Mexico)
So yes, it sucks that things are changing, but given the amount of time this deal stayed open, it was an inevitability.