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It was one of a number of suggestions proposed by the watchdog after an investigation, including clearly display nutritional information so parents can make informed decisions.
The change means Morrisons More Card holders can use their vouchers on the milk alternative for newborns.
Those who are signed up the loyalty scheme earn points when they shop in Morrisons and once they earn 5,000 points that are given £5 off their shop.
However, shoppers can still not earn loyalty points when they buy the products. This is also the case at other major supermarkets.
Shoppers who use the scheme could pay £8.50 for a 800g box of Aptamil 1 First Infant Baby Milk Powder instead of £13.50.
Kate Lavery, director of loyalty atMorrisons, said:“First baby formula is an essential item in the weekly shop for many parents.
“And we are helping them to save on their purchase by allowing More Card Fivers to be redeemed on the product.”
Morrisons is not the only supermarket to switch up how it sells baby formula.
Iceland previously reduced the price of its SMA baby formula powder, making it the cheapest chain to sell the brand.
Speaking at the time, Richard Walker, executive chairman of Iceland Foods, said: “Families with babies are still struggling with the cost-of-living crisis and we have a moral obligation to take action.
“That is why we are heaping further pressure on the manufacturers, the regulators and the market as a whole to bring prices down, just like Iceland is doing.”
More recently the supermarket also agreed to have labels in store which show all first stage baby formula are nutritionally equivalent regardless of price.
The NHS has advisesd that “it does not matter what brand you choose, they’ll all meet your baby’s nutritional needs, regardless of price”.
Parents also often listen to advice from friends and family when choosing a formula, which means the brand’s reputation plays a much larger role in the decision making.
HOW TO COMPARE FORMULA PRICES
Currently, an 800g tub of Aptamil Advanced 1 First Infant Baby Milk formula costs £18 at Tesco.
Meanwhile, the same size tub of SMA PRO First Infant Baby Milk formula costs £13 at the supermarket.