Urbanisation-driven housing demand and the environmental burden of sewage sludge disposal highlight the need for low-carbon, circular construction materials. This study evaluates incinerated sanitary sludge ash (ISSA) as a supplementary cementitious material in stabilised earth blocks, aiming to reduce the use of cement and lime while valorising waste sludge. Lateritic soil blocks were produced with a binder-to-soil ratio of 1:7 by mass, in which ISSA partially replaced the primary stabilising binder (cement or lime) at a replacement level of 10–40% within the binder fraction. ISSA’s mineralogical characteristics were analysed using XRD and XRF. The compressive strength and density of earth blocks were measured at 7 and 28 days under curing conditions (29–36 °C; 60–75% humidity). Cement-stabilised blocks were water-cured to support cement hydration, whereas lime-stabilised blocks were air-cured to promote carbonation and pozzolanic reactions. The results, therefore, compared practical binder-specific curing regimes rather than strictly identical curing environments. ISSA exhibited moderate pozzolanic potential, and its incorporation enabled substantial partial replacement of both binders. Cement-stabilised blocks achieved higher strengths, up to 7.7 MPa, after 28 days of curing, whereas lime-stabilised blocks developed strength more gradually, reaching 4.8 MPa. Optimal mixtures were identified at 40% cement + 60% ISSA and 30% lime + 70% ISSA, balancing mechanical performance and binder reduction. A positive density–strength relationship was observed, but chemical bonding predominated over densification effects. ISSA-based stabilised earth blocks show promising structural performance and reduced binder use, but durability and life-cycle assessment need further evaluation before large-scale implementation.