I'm not sure if Cupitt himself still uses this term, but it's useful in suggesting that, actually, there are more choices than the choice between nihilism and faith. In fact, the issue may not be faith as such but the fact that for millennia, Christianity has buttressed itself with a particular kind of metaphysics that has now seemingly reached the end of its life-span. But perhaps Buddhist metaphysics could provide an alternative here - or, at least, offer a direction of travel.
Perhaps - and this goes for the Kyoto School too - one of these insights is that nothingness and unknowing don't have to be equated with a destructive nihilism but with the experience of unity and participation - whilst resisting the tendency of objectifying metaphysics to claim that we can in some way 'know' that this experienced unity is really the truth of how things are, i.e., reveals being itself.
But why should a religious person be interested in a work like Heidegger's that many regard as the epitome of nihilism? For a start, because Heidegger forces us in a way that few philosophers do to really think through the seriousness and all-encompassing nature of our mortality.
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