Vaping Tax UK 2026: How the New Vape Liquid Tax Will Impact You

From 1st October 2026, the UK Government will introduce a new vape tax on all vaping liquids. The UK vape tax will be charged at £2.20 per 10ml and applies regardless of nicotine strength, including zero-nicotine products. The aim is to reduce youth access by increasing prices. While strict age verification is already in place, this vaping tax will apply nationwide.

On the same date, the cost of traditional cigarettes will also increase by £2.20 per 100 sticks (5 packs of 20), which is equivalent to the duty applied to 10ml of vape liquid*.

In this article, we'll explain what the new Vape Tax is, why it has been introduced and what it means for vapers across the UK...

 

How Does the UK Vape Tax Work?

From October 2026, all e-liquids sold in the UK will be subject to a flat-rate duty of £2.20 per 10ml, introduced under the Vaping Products Duty (VPD).

This tax applies to:

• Nicotine e-liquids
• Nicotine-free (0mg) e-liquids
• Shortfill e-liquids
• Nic shots

The tax is calculated based on the volume of e-liquid, meaning all e-liquids will be affected. Products with higher liquid volume, like shortfills, will see the largest overall price increases due to the higher levels of taxable e-liquid.

Duty stamps will begin appearing on compliant products. From 1st April 2027, all compliant vape liquids must display a duty sticker. Products without one after this date may be illegal or counterfeit.

 

What’s Not Included in the Vape Tax?

While e-liquids will be affected by the new tax, there are many vape products that won't be subject to the new Vaping Products Duty, which include the following:

• Refillable vape kits
• Refillable pods
• Vape coils
• Nicotine pouches
• Heated tobacco products

Although the costs of e-liquids are increasing, it's worth remembering that many vape products won't be affected. For vapers using refillable pod and vape kits, any rising costs will come from e-liquids rather than the hardware itself.  

 

How much is the UK Vape Tax Increasing By?

From October 2026, all e-liquids – including nicotine and nicotine-free e-liquids – will be charged a flat Vaping Products Duty (VPD) of £2.20 per 10ml. This means a 2ml pod will receive a £0.44 duty, while a full 10ml bottle will be charged £2.20.

VAT will then be added on top of the price after the duty has been applied.

 

What Does the New Vape Tax Mean for Vapers?

When the new vape tax comes into effect, you will notice some changes to certain vape prices and the way that some vaping products are sold. 

You can expect to see higher costs on e-liquids – particularly shortfills – that will make regular vaping slightly more costly in the long term. However, vaping will still be considerably cheaper than smoking.

There will also be duty stamp applied to e-liquid products, indicating that the Vaping Products Duty has been paid and that it has been legally supplied.

 

 

10ml E-Liquids (Including Zero Nicotine)

• Before Tax (including VAT): £3.99
• Pre-VAT price: £3.33
• Vaping Products Duty: +£2.20
• VAT (20% on new total): +£1.10
• Estimated New Price: £6.63

That's an estimated 66% increase once the new vape tax is implemented.

 

50ml Shortfill E-Liquids (Before Nic Shot)

• Before Tax (including VAT): £11.99
• Pre-VAT Price: £10.00
• Vaping Products Duty: +£11.00
  
• VAT (20% on new total): +£2.20
• Estimated New Price: £25.19

This significantly increases the new price to more than double of the original – an increase of around 110%. This hike demonstrates how the new tax could reshape affordability for shortfill e-liquid users.

 

100ml Shortfills (Before Nic Shot)

• Before Tax (including VAT): £14.99
• Pre-VAT Price: £12.49
• Vaping Products Duty: +£22.00
• VAT (20% on new total): +£4.40
• Estimated New Price: £41.39

This new price is nearly three times the cost before the new tax - an increase of around 176%. This highlights how the new tax majorly impacts high-volume e-liquid purchases.

 

10ml Nic Shots

• Before Tax (including VAT): £1.49
  
• Pre-VAT Price: £1.24
• Vaping Products Duty: +£2.20
• VAT (20% on new total): +£0.44
• Estimated New Price: £4.13
  

This 177% price increase highlights the wider impact of the new vape tax, with even small e-liquid bottles like nic shots seeing a big leap in price.

2ml Prefilled Pods

• Before Tax (including VAT): £4.00
• Pre-VAT price: £3.33
• Vaping Products Duty: +£0.44
• VAT (20% on new total): +£0.75
• Estimated New Price: £4.52
  

That's around a 13% increase on current cost, which is a lot less than the increase on shortfills. 

 

Weighing Things Up

While the new vape tax will make shortfills more expensive, they still offer better value for money overall. A typical 50ml shortfill e-liquid provides around 15,000 puffs for roughly £25, compared with around 600 puffs from a £4.50 pod. So, although shortfills come with a higher upfront cost, they still work out much cheaper per puff, making them more cost-effective for regular vapers.

What this means for your next purchase

With the upcoming price increases on e-liquids, vapers are already reviewing what they buy and how they use their devices.

If you prefer lower upfront costs with added convenience, prefilled pods will be your best option, as these are impacted the least by the new tax. You can view our prefilled pod range to compare pricing and flavours.

For the best value per ml, shortfill e-liquids offer a lot more liquid for your money, even after the new tax is applied. You can browse our shortfill e-liquids to compare bottle sizes and options.

 

Conclusion

The introduction of the UK Vape Tax marks one of the biggest changes in vaping regulation in recent years. While the costs of e-liquids is increasing, vaping still remains significantly cheaper than cigarettes and a popular alternative for smokers looking to step away from tobacco.

As the October implementation date approaches, it's important that vapers are aware of the upcoming changes, and we hope that you've found this article helpful. We'll continue to monitor the situation and will keep you updated as it continues.

Thank you for reading and for your continued support, from all of us at Vapemate!

Like this article? Check out our guide on the Tobacco and Vapes Act

 

FAQs

Still have further questions? Check out our frequently asked questions below, which we hope will answer any query you may have...

 

Are vape kits taxed under the 2026 Vaping Products Duty?

No, vape kits won't directly be taxed under the Vaping Products Duty (VPD). As the tax only applies to e-liquids, refillable pod kits, starter kits and sub-ohm devices won't be affected – though any pods and refill containers prefilled with e-liquid will be, as the tax applies based on the amount of vape liquid in each product.

 

When does the new vape tax start?

The UK Vape Tax comes into effect on 1st October 2026. By this date, retailers will need to include the Vape Duty tax in the price of their products.

 

Can the vape tax be prevented?

No, the Vaping Products Duty (VPD) is a government-imposed excise duty from HMRC and applies to all eligible products, so this can't and shouldn't be avoided.

 

What’s not included in the vape tax?

Under the UK Vape Tax, any vaping products that don't contain e-liquid won't be affected. These include refillable vape kits, refillable pods, vape coils, nicotine pouches and heated tobacco products.

 

Why is the vape tax being introduced?

The main purpose of the Vaping Products Duty tax is to make vaping less affordable to young people. By adding a flat-rate duty, this intends to push up the prices of certain vape products, making vaping less accessible and reduce the number of young people taking up vaping.

 

What is the current tax on vapes?

As it stands, in the UK, vapes are subject to a 20% VAT. From 1st October 2026, any vaping products containing e-liquid will also receive a flat-rate excise duty amounting to 22p per ml.

 

What are the Vaping Duty Stamps?

Vaping duty stamps are secure labels applied to vape e-liquid packaging. These are used as proof that the Vaping Product Duty (VPD) has been paid and is legally approved for sale. This helps HMRC track counterfeit and illegal vape products.

 

What will be the wider impacts of the vape tax?

According to Action on Smoking and Health, the government expects the new vape tax to raise up to £445 million in revenue by 2028/2029, which will be used to fund public health services and Trading Standards. It could also potentially reduce the number of young people taking up vaping, which is the main aim of the tax.