VAPING AND SMOKING COSTS AFTER THE NEW VAPE TAX

The Tobacco and Vapes Bill is set to be a strong solution towards helping people stop smoking and vaping. It comes in conjunction with the plan for a smoke-free Britain, which in turn will gradually increase the price of products of both types to discourage users and further this goal. This also includes the prevention of the sale of tobacco products to anyone born on or after 1st January 2009, even if they're 18 or above at the time of purchase.

The vape duty applies only to liquids intended to be used in an e-cigarette, regardless of nicotine concentration.

AVERAGE VAPING COST IN 2025
Vaping remains a much cheaper alternative to smoking, and although there will be an increase in vaping costs, it's worth noting that the government intend to keep vaping as a much more affordable alternative when compared to smoking.

After the initial cost of a vape kit, the e-liquid cost depends on what your preferred type is.

AVERAGE COST OF VAPING IN 2026
The vape tax will come into effect from 1st October 2026. Until this point, prices will remain the same, though over time, you may see less stock from businesses unable to keep up or comply with the duty regulations.

Following the implementation of the vape tax, the Core Range will increase in price to £5.14 per bottle. By comparison, the Core Range experiences the largest percentage in price increase, doubling in price.

AVERAGE TOBACCO COST IN 2025
Since vaping's conception, tobacco has always been the more expensive form of nicotine intake. This has only become more and more prominent with continuous excise taxes on tobacco and cigarette products.

According to the Office for National Statistics' Retail Price Index, the average price for a 20 pack of cigarettes in January 2025 is £16.60. They are set to increase in excise duty by the RPI measure of inflation, as well as a subsequent 2% value overall annually.

A bottle of e-liquid is typically less expensive and lasts longer than a pack of cigarettes. This remains consistent even past the vape duty, with cigarettes and rolling tobacco providing less overall value.

AVERAGE COST OF TOBACCO IN 2026
The 2% further increase in tobacco tax came into effect from 26th November 2025, and on 1st October 2026, this 2% increase will be accompanied by a further £2.20 charge per 100 cigarettes and £2.20 per 50g on other tobacco products.

This will add a further jump in the already rapidly increasing price of tobacco over time, and more importantly, set a distance between the cost of smoking compared to vaping - even after the implementation of the vape tax.

CONCLUSION: VAPING WILL REMAIN CHEAPER THAN SMOKING
Although the vape tax is concerning from a price perspective, it will be highly unlikely to encourage vapers to switch back to smoking. This is primarily due to the already high cost of tobacco products, which will increase further over time.

Currently, the average cost of vaping in the UK is approximately 10x cheaper than the average cost of smoking. Even after the new vape duty is enforced, vaping will remain approximately 4x cheaper than smoking.

While vaping products are set to be taxed from October 2026, the UK Government intend to keep vaping as a more affordable alternative, with additional tobacco taxation set to ensure the price gap remains as large as possible for adult smokers looking to quit.