Vaping Products Duty UK 2026: What You Need to Know

From 1 October 2026, the UK will introduce Vaping Products Duty (VPD), a new excise duty on vaping liquids. The duty will be charged at a flat rate of £2.20 per 10ml of vaping liquid, regardless of whether the liquid contains nicotine.

The duty is a part of the changes made to the UK’s taxation policy on vaping products, and it’ll affect the businesses involved in manufacturing, supplying, or importing vaping products in the UK.

What is the Vaping Products Duty?

Vaping Products Duty is a new UK duty on vaping liquid. It applies to vaping liquid manufactured or imported in the UK for consumption. It starts on 1st October 2026 onwards and is applicable to all nicotine and nicotine-free vaping liquids.

Does Vaping Products Duty Apply to Nicotine-free Vape Liquid?

Yes, VPD applies to vaping liquid whether or not it contains nicotine. Nicotine-containing e-liquids and nicotine-free vaping products are all within the scope of duty. HMRC also stated that duty can apply to liquid in bottles, pods and cartridges, as well as other substances intended for vaping.

Why is the UK Introducing This Duty?

The Vaping Products Duty forms part of the UK government's changes to taxation and regulation of vaping products. The core reason for this step is to stop children and non-smokers from making impulse purchases. Also, the new duty stamp scheme helps authorities track products. It can eliminate fake products and illegal imports from the market.

What Products Does the Duty Apply To?

According to HMRC, the duty applies to e-liquid in bottles, cartridges, pods, and some other substances like propylene glycol, vegetable glycerin, and flavorings intended for vaping are also included.

Will the Vape Hardware also be affected by the Duty?

Vape Hardware such as vape kits, devices, batteries, and other hardware is not subject to the Vaping Products Duty. However, vape devices containing e-liquids, like prefilled pods, are included; only the liquid in them is liable for duty, not the hardware.

Could Vaping Products Duty Push Some Vapers Back to Smoking?

The Vaping Products Duty could affect the purchasing decisions of some vapers because it will increase the cost of vaping liquids. For this reason, the UK Government is also increasing tobacco duty when the Vaping Products Duty begins on 1 October 2026. The aim is to maintain a price difference between vaping and smoking while reducing the affordability of vaping for young people and non-smokers. In any case, vaping is less harmful than traditional smoking, and so the taxation on smoking products could be higher for a smoke-free environment.

What is the Vaping Duty Stamps Scheme?

Alongside the vaping products duty, the vaping duty stamps scheme will also be started by the UK government. According to this, physical and digital stamps are required on the packaging of retail vaping products to confirm that the duty has been paid for them. Digital stamps will become available from 1 September, 2026 onwards.

Key Points for Vape Customers

Before the duty applies and prices double, customers can stock up on their products. This would be a good approach for the time being. As the duty and stamp scheme starts, customers should be aware of the products they are buying. Also, during the transition period, the existing unstamped stock can be sold, but after 1 April 2027, all products are required to carry a valid duty stamp.