Virgin Australia and Singapore Airlines announced today that they are allowing members to transfer miles between these two programs, although not at 1 to 1 ratio.
Singapore Airlines owns 22% of Virgin Australia. Air New Zealand and Etihad Airways are also owners.
You can access Virgin Australia’s web page for this announcement here.
Note that you must use 1.35 points from each program to get 1 point to the other one.
Virgin Australia frequent fliers can now convert their Velocity points to Singapore Airlines KrisFlyer miles and then redeem on all Singapore Airlines partners. Cannot see how they could only limit this to SQ redemptions only.
It would have been better if the airlines would have allowed the transfers at 1:1 ratio. I don’t think that this 1.35 to 1 conversion will generally make much sense.