A new government tax is coming into place on the 1st October 2026 which will affect the vaping industry quite drastically. This new tax will be added to all vape products that contain e-liquids including shortfills, nic salts, and prefilled pod kits. We have compiled answers to the most frequently asked questions below to make it easier for you to find out how this will affect you.
What is the new vape tax?
The UK Government will be introducing a Vaping Products Duty (VPD) on all vaping products that contain e-liquid. This means you will now be taxed 0.22p for every millilitre of e-liquid a product contains on top of the current prices. The tax will apply to 10ml e-liquid bottles, shortfills, prefilled vape kits and prefilled replacement pods.
From the 1st October, the prices of vapes throughout the industry will increase, and you will begin to see changes in product packaging, as it will be a legal requirement for all new products produced to have a duty stamp. You may still receive products without duty stamps on, as there will be a selling off period to allow retailers to shift remaining stock.
Why has the vape tax been introduced?
The reason this has been introduced is to help reduce the number of young people using vapes, as well as prevent excessive use. By increasing the price of these products, it could reduce the number of young people purchasing them, as the tax will raise the overall cost.
The vape tax also helps ensure that no counterfeit products enter the vaping market. A legal tax stamp will help you know that the products are genuine and compliant.
How much is the new vape tax?
The tax rate is 0.22p per millilitre of e-liquid, meaning every 10ml e-liquid bottle will have an extra £2.20 added on top of its original price.
When does the vape tax start?
The Vaping Products Duty will tax all products that contain e-liquid from 1st October 2026. From this date, prices will change and will be higher than they used to be.
Which products will be taxed?
Any product containing e-liquid will be taxed, so any 10ml e-liquid bottles, shortfills, prefilled kits, and prefilled pods.
Which products are not getting taxed?
Any products that do not contain e-liquid will not include the Vaping Products Duty tax. This includes refillable kits, coils, heated tobacco devices and tobacco sticks, nicotine pouches, nicotine strips, nicotine gum, empty replacement pods, and vaping accessories such as glass, vape batteries, chargers, and CBD gummies.
Do I have to pay the vape tax?
The vape tax will automatically be added to products starting from 1st October 2026, so there’s no need for you to fill in any tax forms, as it will all be applied and sorted for you. The products that contain e-liquid will increase in price, and this will be due to the tax being added to the product. So purchasing your vape products will still be as straightforward as usual.
How much will vape products cost after tax?
Each product will cost a different amount depending on how much e-liquid it contains. There will be a 0.22p charge per millilitre, meaning the total duty added will vary from product to product. You will see a more drastic change in the price of shortfills, as they normally come in 50ml or 100ml bottles. For example, a 100ml bottle would have £22 of duty tax added on top of the original price of the product.
For 10ml e-liquid bottles, you will also notice a fairly significant price change. These are already a cheaper alternative for those on a smoke free journey, however, the duty tax will add £2.20 on top of the original price.
You will also notice an increase in prefilled pod kits. This increase will be smaller compared to shortfills, however, big puff devices that come with multiple pods and refill containers will see quite a noticeable price rise.
Can the vape tax be prevented?
Unfortunately not, however not all nicotine products contain e-liquid, which means not everything will be taxed. Refillable kits will stay the same price, as they contain no e-liquid. However, to use a refillable kit, you will still need e-liquid, which is an item that will be taxed.
If you aren’t a fan of using a refillable kit and still want to use a product that contains nicotine, there are many other alternatives available. These include products such as nicotine pouches, nicotine gum, and toothpicks. See the list below for some good alternatives that keep your smoke free journey cost effective as possible.
Will the vape tax apply to CBD products?
Yes, if any of the CBD products contain e-liquid, they will be taxed. This includes any of the 10ml e-liquids, shortfills, prefilled vape kits, and prefilled pods. However, none of the CBD gummies will be affected by the tax, so they will remain the same price.
How to save money?
There may be a few ways to save money during the upcoming vape tax. You could stock up on all your products before the 1st of October, before the vape tax comes into place. You could also change your vaping style, and instead of vaping prefilled kits, you could try a nicotine pouch or a nicotine strip to see whether you get a similar nicotine experience. Or an alternative option is using a refillable vape kit, they are required to have an e-liquid in the device for it to actually work, and e-liquids are what’s getting taxed.
You could also try out heated tobacco as an option, which is a device that heats a tobacco stick instead of burning it, offering a similar experience to smoking.
Will vaping be cheaper than cigarettes after the vape tax?
Yes, vaping will still be cheaper than cigarettes after the vape tax. Even though the tax is increasing the cost of vape products, they are still noticeably cheaper than cigarettes. The government is focused on keeping the cost of cigarettes high, helping to ensure that fewer people continue to smoke.