UK Vape Tax Explained: Vaping Products Duty from 1 October 2026

Vaping Products Duty (VPD), commonly called the UK vape tax, is a new excise duty on all vaping liquid sold or supplied in the UK from 1 October 2026. HMRC sets the rate at £2.20 per 10ml, whether the liquid contains nicotine or not; hardware is outside the duty.

What is Vaping Products Duty?

Vaping Products Duty is a new UK excise duty created by Part 4 of the Finance Act 2026. The duty applies to vaping liquid produced in or imported into the UK, and the charging provision takes effect on 1 October 2026.

You may see Vaping Products Duty shortened to VPD or described more generally as the UK vape tax. The distinction matters because the duty applies to the liquid by volume, not to every component of a vape product.

The government's published policy objective is to reduce the affordability and appeal of vaping products, particularly among young people, as part of its stated aim of creating a smoke-free generation. HM Treasury analysis estimates that VPD will raise more than £550 million a year by 2030–31.

When does the UK vape tax start?

HMRC applies Vaping Products Duty from 1 October 2026, following an approval period that opened earlier in the year. HMRC's guidance on preparing for Vaping Products Duty and the Vaping Duty Stamps Scheme sets out the full timetable.

The six-month transitional period matters for customers because unstamped packaging may still be lawful after the duty begins. Retailers must be able to show that eligible unstamped stock was produced or imported before 1 October 2026.

How much is the UK vape tax?

HMRC charges Vaping Products Duty at a flat rate of £2.20 per 10ml of vaping liquid. The same rate applies regardless of nicotine content.

The rate is equivalent to 22p per millilitre, so the duty scales with the volume of liquid in the product. These are worked examples using that flat rate:

Duty amount before VAT: £2.20 per 10ml.

Approximate VAT-inclusive amount: £2.64 per 10ml. This is £2.20 of duty plus 44p when the standard 20% VAT rate is applied. It shows the arithmetic effect if the full duty and associated VAT are reflected in a retail price. It is not a Vape Dinner Lady pricing commitment.

Which vaping products are affected by VPD?

Vaping Products Duty covers all vaping liquids sold or supplied in the UK, including liquids without nicotine. HMRC's guidance makes the liquid, rather than the hardware, the basis of the duty.

Products affected by VPD include:

• Nicotine salt e-liquid

• 50:50 e-liquid

• Nicotine-free e-liquid

• Shortfills

• Nicotine shots

• E-liquid supplied inside prefilled pods

• E-liquid supplied inside prefilled devices

• Substances intended for vaping that are made at home, including base ingredients such as propylene glycol, vegetable glycerine and flavourings

That last point is wider than many summaries suggest. HMRC's guidance states that all substances intended for vaping fall within the duty, whether or not they contain nicotine, and whether or not a consumer would need to mix them with something else before use.

This means the liquid in our Bar Salts collection and our Velto pod collection falls within the duty rules. Our 10ml nic salt e-liquid compatibility guide explains the bottled format, while our prefilled pod vape kit guide explains the Velto format.

Products not affected by VPD include:

• Vape devices without liquid

• Batteries

• Coils

• Tanks

• Empty refillable pods

• Chargers

• Accessories without vaping liquid

These hardware products remain subject to the usual VAT rules, but no Vaping Products Duty is charged on the hardware itself. A kit containing both hardware and vaping liquid can therefore include a liquid component that is liable for VPD and a hardware component that is not.

Will vape prices go up on 1 October 2026?

The transitional stock rules spread expected retail price changes across the period after 1 October 2026. Eligible vaping products produced or imported before that date are not subject to the new duty and may remain on sale without a stamp until 31 March 2027.

This means prices are likely to change gradually rather than every product moving to a new price overnight. One retailer may have pre-duty stock remaining while another has moved to duty-paid stock, and different products at the same retailer may move at different times as existing stock is sold.

At Vape Dinner Lady, we show the current selling price on each product page. We cannot promise that every e-liquid or prefilled pod will change price on the same day or by the same amount, because the final selling price depends on the particular stock and other pricing factors.

From 1 April 2027 the transition ends, and vaping products offered for retail sale must be duty-paid and carry a valid stamp. Pre-duty stock will therefore disappear from sale as retailers work through it before that date.

What is a vaping duty stamp?

A vaping duty stamp identifies a legitimate retail unit and supports authentication within the supply chain. HMRC describes it as a secure physical label with multiple security features, with digital stamps also carrying a scannable feature for authentication and tracing.

The stamp must sit on the outermost retail packaging, such as a box, or on a bottle sold without an outer box. It must seal the pack so that opening it damages either the packaging or the stamp.

From 1 October 2026, newly produced or imported vaping products released onto the UK market must be stamped. During the transitional period, an unstamped product may still be lawful if it was produced or imported before 1 October 2026 and the retailer holds the required evidence.

From 1 April 2027, that exception ends. Every vaping product outside duty suspension must carry a valid stamp, regardless of when it was produced, and the absence of a stamp on a product offered for sale after that date means it cannot legally be sold.

Transitional duty stamps

You may see two different stamp types during the early months of the scheme. The Vaping Products (Production, Duty Stamps and Commencement) Regulations 2026 provide for transitional duty stamps, which are equivalent to full duty stamps in function and purpose but do not carry a visible feature capable of being scanned.

The regulations apply the Finance Act 2026 provisions to transitional stamps in the same way as to full stamps, while disapplying the scanning requirements. A transitional stamp is therefore a valid duty stamp; it simply predates the scannable digital format. Both indicate that duty has been accounted for.

What does VPD mean for retailers and wholesalers?

The new rules require retailers and wholesalers to check stock status throughout the transition. A business that only sells or distributes duty-paid vaping products does not need its own VPD or duty-stamp approval.

Manufacturers, importers, warehousekeepers and businesses that purchase or hold stamps may need HMRC approval for those activities. Applications opened on 1 April 2026, and the required approval must be in place before a regulated activity begins. HMRC has indicated that applications can take at least 45 working days where further information is needed.

Businesses that buy or hold stamps do so as Approved Stamp Holders. HMRC's force of law notice sets out that an Approved Stamp Holder must already hold an approval to produce vaping products, an approval as a UK Representative, or an excise or customs warehousing approval permitting storage in duty suspense.

Retail and wholesale checks include:

• Confirming that newly released or newly imported stock carries a stamp from 1 October 2026

• Retaining evidence that any unstamped stock was produced or imported before 1 October 2026

• Checking that a stamp is attached to the outermost pack and seals it

• Managing eligible unstamped stock so it is sold or otherwise lawfully dealt with by 31 March 2027

• Refusing to buy or sell unstamped stock where its transitional status cannot be established

Businesses in Northern Ireland acquiring vaping products from EU member states are addressed separately in HMRC's guidance and should read the relevant section directly.

VPD is a separate regulatory change from the single-use vape ban that took effect in June 2025. We will keep this page updated as HMRC guidance develops.

Frequently asked questions

Our frequently asked questions answer common searches about the UK vape tax, affected products, stamps and transitional stock.

How much is the UK vape tax?

HMRC has set Vaping Products Duty at £2.20 per 10ml of vaping liquid, equivalent to 22p per millilitre. At the standard 20% VAT rate, the duty plus associated VAT is approximately £2.64 per 10ml if fully reflected in the retail price. The duty is charged on liquid volume, not on nicotine strength.

When does the UK vape tax start?

Vaping Products Duty starts on 1 October 2026. From that date, liable products newly released onto the UK market must carry a vaping duty stamp. HMRC's timetable also allows eligible older unstamped stock to remain on sale during the transitional period ending on 31 March 2027.

Who actually pays the vape tax?

Manufacturers, importers and warehousekeepers register with HMRC and account for the duty. Retailers selling duty-paid products do not need their own VPD or duty-stamp approval. The duty is charged upstream, though the cost is generally expected to be reflected in retail prices once pre-duty stock has been sold through.

Does the vape tax apply to nicotine-free e-liquid?

Yes. Vaping Products Duty applies to vaping liquid whether or not it contains nicotine. This includes nicotine-free shortfills as well as nicotine-containing e-liquid and nicotine shots. HMRC's guidance also brings substances made at home for vaping, including base ingredients, within the duty.

Does the vape tax apply to devices and coils?

No. Vaping Products Duty applies to vaping liquid, not to hardware such as devices, batteries, coils, tanks, empty refillable pods, chargers and accessories. Hardware remains subject to the usual VAT rules. A prefilled pod is affected because it contains liquid; an empty refillable pod is not.

Can I still buy unstamped e-liquid after October 2026?

Yes, during the transition, provided the unstamped product was produced or imported before 1 October 2026 and qualifies for the grace period. Retailers may sell that eligible stock until 31 March 2027 and must keep evidence of its status.

What happens to unstamped vaping products on 1 April 2027?

From 1 April 2027, retailers must not sell or hold unstamped vaping products outside duty suspension. Remaining unstamped stock must already have been sold, returned to the supplier, exported, destroyed or otherwise dealt with lawfully. Non-compliant stock may be seized and businesses may face penalties.

Our vape products are for sale to over-18s only in the UK and are intended for existing adult smokers and existing adult vapers. Vaping products contain nicotine, which is a highly addictive substance. This article provides general information only, not tax or legal advice. Please refer to the latest GOV.UK Vaping Products Duty guidance for official requirements.