UK Vape Tax 2026 Explained: The Complete Guide to Vaping Products Duty

From 1 October 2026, the UK vaping industry will undergo one of its biggest changes in recent years with the introduction of Vaping Products Duty (VPD), commonly referred to as the UK Vape Tax. This new duty will apply to vape liquids supplied in the UK and is expected to increase the cost of many popular vaping products, including nicotine salts, shortfills, prefilled pod kits and refill packs.

If you've recently seen headlines about the new vape tax, you're probably wondering what it actually means. Will your favourite vape become more expensive? Does the tax apply to zero nicotine products? Is this the same as the disposable vape ban? These are just some of the questions we've been asked by customers, and with so much conflicting information online, it's easy to understand why many people are confused.

That's exactly why we've created this guide.

Rather than filling this article with complicated tax terminology or legal jargon, we've broken everything down into clear, easy-to-understand language. Whether you're an experienced vaper or someone who's only recently switched from smoking, this guide will explain exactly what the UK Vape Tax is, why it's being introduced, which products are affected, how the new duty is calculated and what it could mean for the products you buy.

We'll also look at how the changes could affect popular vape brands such as Hayati, Lost Mary, Elux, IVG and Hyola, explain the difference between Vaping Products Duty and VAT, answer the most frequently asked questions and reference official UK Government guidance throughout, so you can be confident the information you're reading is accurate.

Our aim isn't simply to report the news. We want this to become one of the UK's most comprehensive and trusted resources on the UK Vape Tax, helping adult vapers understand the changes before they come into effect. As further guidance is published by HMRC and the UK Government, we'll continue updating this page so it remains an accurate and reliable source of information.

UK Vape Tax 2026: Quick Facts

If you're short on time, here's a quick overview of the key facts surrounding the new UK Vape Tax.

What You'll Learn in This Guide

By the end of this guide, you'll have a clear understanding of:

• What the UK Vape Tax actually is.
• The difference between Vaping Products Duty and VAT.
• Why the Government is introducing the new tax.
• Which vape products are affected.
• How the duty is calculated.
• What the changes could mean for the price of nic salts, prefilled pods and shortfills.
• Whether nicotine-free vape liquids are included.
• Common myths surrounding the new legislation.
• Where to find official government guidance.
• How Vapehub is preparing for the changes.

Whether you're an experienced vaper, someone considering switching to vaping, or you're simply trying to understand how the new legislation may affect future purchases, this guide has been designed to answer your questions in one place.

Why Is the UK Government Introducing a Vape Tax?

One of the questions we hear most often is, "Why is the Government introducing a vape tax?" The short answer is that the new Vaping Products Duty (VPD) forms part of the Government's wider strategy to regulate vaping products, protect public health and maintain the financial incentive for adult smokers to switch from cigarettes to vaping.

Unlike tobacco products, vape liquids have never previously been subject to a dedicated UK excise duty. While VAT has always applied to vaping products, there has been no separate tax based specifically on the volume of vape liquid. The introduction of Vaping Products Duty changes this by bringing vape liquids into the UK's excise duty system for the first time.

The Government has stated that the new duty is intended to work alongside an increase in tobacco duty. Its objective is to preserve the financial incentive for adult smokers to switch from smoking to vaping, while introducing a specific tax framework for vape products.

It's important to understand that the vape tax is not being introduced because vaping products are being banned. Instead, it's a new taxation system that applies to eligible vape liquids supplied in the UK. Retailers will still be able to sell compliant vaping products after the duty comes into force, provided they meet the relevant legal and regulatory requirements.

As with many changes to UK taxation, the Government has also introduced registration requirements for businesses involved in manufacturing, importing and supplying vaping products. These measures are designed to ensure that Vaping Products Duty is collected correctly and that businesses comply with the new legislation.

For adult vapers, the key takeaway is simple: vaping isn't being prohibited, but the way vape liquids are taxed is changing. Understanding these changes now can help you prepare for how they may affect product availability, pricing and purchasing decisions in the future.

When Does the UK Vape Tax Start?

The introduction of Vaping Products Duty follows a clear timeline set out by the UK Government, giving manufacturers, importers, wholesalers and retailers time to prepare before the duty officially comes into force.

26 November 2025 – Government Publishes the Policy

The Government published the official Tax Information and Impact Note confirming that a new Vaping Products Duty would be introduced as part of the UK's excise duty system. This provided the first detailed explanation of how the new duty would operate and who it would affect.

1 April 2026 – Business Registration Opens

From 1 April 2026, eligible businesses are able to register with HMRC for approval under the new Vaping Products Duty regime. This allows manufacturers, importers and other affected businesses to prepare for the changes before the duty becomes payable.

1 October 2026 – Vaping Products Duty Begins

The new duty officially comes into effect on 1 October 2026. From this date, qualifying vape liquids supplied in the UK become subject to Vaping Products Duty, and businesses must comply with the new requirements set out by HMRC and the relevant legislation.

For consumers, this is the date from which many vape products may begin reflecting the additional duty in their retail pricing. The exact increase will depend on the amount of vape liquid contained within each product and how individual manufacturers and retailers choose to price their products.

What Is Vaping Products Duty (VPD)?

Now that we've explained why the UK Government is introducing the new vape tax, it's important to understand exactly what Vaping Products Duty (VPD) is and how it differs from the taxes that already apply to vaping products.

Vaping Products Duty (VPD) is a new excise duty that will apply to eligible vaping liquids supplied in the UK from 1 October 2026. Unlike VAT, which is charged as a percentage of the final selling price, Vaping Products Duty is calculated based on the volume of vape liquid contained within a product. This means that products containing larger amounts of e-liquid will generally incur more duty than products containing smaller volumes.

The duty applies before VAT is added, meaning many products will be subject to both Vaping Products Duty and VAT. As a result, the overall increase in retail prices may be greater than the duty amount alone.

It's also worth noting that Vaping Products Duty isn't charged directly to consumers. Instead, it applies throughout the supply chain, with manufacturers, importers and other approved businesses responsible for accounting for the duty. Like many other forms of excise duty, some or all of these additional costs may ultimately be reflected in the price consumers pay when purchasing vaping products.

The introduction of VPD also brings new compliance requirements for businesses involved in manufacturing, importing and supplying vape products. These include registration with HMRC, record keeping and adherence to the rules set out within the legislation.

At its core, however, the concept is relatively simple:

The more vape liquid a product contains, the more Vaping Products Duty is likely to attract.

We'll look at exactly how this works later in this guide with practical examples using common vape products.

What Is the Difference Between Vaping Products Duty and VAT?

One area that causes a lot of confusion is the difference between Vaping Products Duty and Value Added Tax (VAT). Although both are taxes that can affect the final price of vape products, they work in completely different ways.

For adult vapers, the key point is that Vaping Products Duty does not replace VAT. Instead, the two taxes exist alongside one another.

This means that when Vaping Products Duty increases the cost of supplying a vape product, VAT is then applied according to the normal VAT rules. As a result, consumers may notice retail prices increasing by more than the duty amount alone.

Understanding this distinction helps explain why the final price of some vape products may change more significantly than many people initially expect.

Which Vape Products Are Affected by the UK Vape Tax?

One of the most common questions surrounding the new legislation is which vaping products are actually affected. Many people assume the duty only applies to certain types of vape devices or nicotine strengths, but the rules are broader than that.

In general, Vaping Products Duty applies to eligible vape liquids supplied in the UK, regardless of the device they are used in. If a product contains vape liquid that falls within the scope of the legislation, it may be subject to the new duty.

Let's look at the main product categories.

Nicotine Salts

Nicotine salt e-liquids are expected to be among the products most noticeably affected by the introduction of Vaping Products Duty. As one of the most popular choices for refillable pod kits, any increase in duty could have a direct impact on the retail price of these products.

Whether you regularly use Elux Nic Salts, Hayati Nic Salts or another brand, the amount of duty applied will depend on the volume of e-liquid contained within each bottle.

Shortfills

Shortfill e-liquids typically contain significantly more vape liquid than standard 10ml bottles. Because the new duty is based on liquid volume, larger bottles are expected to attract proportionally more duty than smaller products.

This means adult vapers who purchase larger shortfill bottles may notice more substantial price increases compared with users who primarily buy smaller e-liquid bottles.

Prefilled Pod Kits

Many modern pod kits include prefilled pods or refill containers containing vape liquid. Where those liquids fall within the scope of the legislation, they may also be subject to Vaping Products Duty.

This could affect a wide range of popular systems from brands including Hayati, Lost Mary, IVG, Hyola and Elux.

Prefilled Pod Refills

Replacement pod refills are also expected to be affected where they contain eligible vape liquid. As with all other products, the amount of duty depends on the total volume of e-liquid rather than the brand itself.

For many adult vapers, this means regularly purchased refill packs may increase in price after the duty comes into effect.

Zero Nicotine Vape Liquids

One of the biggest misconceptions surrounding the new vape tax is that 0mg or zero nicotine e-liquids are automatically exempt.

Whether a particular zero nicotine product is subject to Vaping Products Duty depends on how it falls within the legislation. We'll explore this topic in more detail later in this guide because it's one of the areas that generates the most questions from customers and is important to explain accurately.

Key Takeaway

Rather than targeting specific vape brands, the UK Vape Tax focuses on eligible vape liquids. Whether you vape Hayati, Lost Mary, Elux, Hyola, IVG or another manufacturer, the way the duty applies depends primarily on the characteristics of the product and the legislation-not the name printed on the packaging.

How Is the UK Vape Tax Calculated?

One of the biggest questions surrounding Vaping Products Duty (VPD) is how the new tax is actually worked out. While many articles simply state that prices will increase, understanding how the duty is calculated makes it much easier to see why different vape products may be affected differently.

Unlike VAT, which is calculated as a percentage of the selling price, Vaping Products Duty is based on the volume of vape liquid contained within a product. In simple terms, the more e-liquid a product contains, the more duty it will attract.

At the time of writing, the Government has confirmed that the duty rate will be £2.20 per 10ml of vape liquid (22p per ml). This applies to eligible vape liquids supplied in the UK from 1 October 2026. VAT will then continue to apply separately in accordance with existing VAT rules. (Reference: HMRC / GOV.UK)

To make this easier to understand, here are some examples.

Example 1 – A Standard 10ml Nic Salt

A standard bottle of nicotine salt contains 10ml of vape liquid.

Calculation

10ml × £0.22 = £2.20 Duty

VAT is then applied separately.

This means every eligible 10ml nic salt bottle will include £2.20 in Vaping Products Duty, before VAT is added.

Example 2 – A 12ml Prefilled Pod System

Many modern prefilled pod kits contain approximately 12ml of vape liquid.

Calculation

12ml × £0.22 = £2.64 Duty

Again, VAT is applied separately afterwards.

Example 3 – A 20ml Vape Product

Some vape products contain around 20ml of e-liquid.

Calculation

20ml × £0.22 = £4.40 Duty

The amount of duty increases in direct proportion to the amount of vape liquid contained within the product.

Example 4 – A 100ml Shortfill

Shortfills typically contain significantly larger volumes of vape liquid than standard nic salts.

Calculation

100ml × £0.22 = £22.00 Duty

Because shortfills contain much more e-liquid, they attract considerably more Vaping Products Duty than smaller bottles.

Estimated Vaping Products Duty by E-Liquid Volume

The table below shows how much Vaping Products Duty applies to different liquid volumes based on the current announced rate.

Please note: These figures illustrate the duty component only and do not include VAT or any pricing decisions made by manufacturers, importers or retailers.

Will Every Vape Product Increase by the Same Amount?

No. This is one of the biggest misconceptions surrounding the UK Vape Tax.

The amount of Vaping Products Duty applied depends on how much vape liquid the product contains, not the brand name or the retail price.

For example, a 10ml nic salt and a 100ml shortfill will not receive the same increase because they contain very different volumes of vape liquid.

Similarly, two products from different brands that both contain 12ml of e-liquid are expected to attract the same amount of duty, even if their retail prices differ.

This means the biggest factor influencing the duty is liquid volume, rather than whether the product is made by Hayati, Lost Mary, Elux, IVG, Hyola or another manufacturer.

It's also worth remembering that while the duty amount is fixed according to the liquid volume, the final retail price may vary between retailers. Manufacturers, distributors and retailers each have their own operating costs and pricing strategies, so consumers may notice slight differences in pricing across the market.

What Could the UK Vape Tax Mean for Popular Vape Products?

Although the exact retail price of individual products will continue to depend on manufacturers and retailers, it's reasonable to expect that many popular vape categories will be affected by the introduction of Vaping Products Duty.

These include:

• Nicotine Salt E-Liquids
• Prefilled Pod Kits
• Prefilled Pod Refills
• Shortfill E-Liquids
• Reusable Pod Systems supplied with vape liquid

Brands such as Hayati, Lost Mary, Elux, IVG, Hyola and many others all produce products that may fall within the scope of the new legislation, depending on the specific product and its liquid content.

Rather than focusing on one manufacturer, it's more helpful to understand that the duty follows the vape liquid, meaning products with similar liquid volumes are likely to attract similar levels of duty regardless of brand.

What Does the UK Vape Tax Mean for You?

The introduction of Vaping Products Duty will affect different people in different ways. Whether you're an occasional vaper, someone who uses nicotine salts every day or a fan of prefilled pod kits, understanding how the new duty could affect your preferred products can help you prepare for the changes ahead.

While the exact retail prices of individual products will continue to depend on manufacturers and retailers, the introduction of the duty means many adult vapers are likely to notice higher prices across much of the vaping market from 1 October 2026 onwards.

Here's what the changes could mean depending on the products you use.

If You Use Nicotine Salts

Nicotine salts remain one of the most popular vaping options in the UK thanks to their smooth throat hit, quick nicotine satisfaction and compatibility with refillable pod kits.

Because most nic salt bottles contain 10ml of vape liquid, they're expected to attract the standard duty applicable to that liquid volume.

If you regularly purchase multiple bottles each month, the introduction of Vaping Products Duty could noticeably increase your overall vaping costs. Shopping around for value offers and multi-buy promotions may become even more important after the new legislation comes into force.

If You Use Prefilled Pod Kits

Prefilled pod kits have become increasingly popular because of their convenience, ease of use and consistent flavour performance.

Many modern pod kits include refill containers or prefilled pods containing more than a standard 10ml bottle of vape liquid. Because Vaping Products Duty is based on liquid volume rather than product type, the amount of duty will depend on the total amount of vape liquid supplied with each kit.

Adult vapers who regularly purchase prefilled pod systems may therefore notice price increases that reflect the amount of e-liquid included with each product.

If You Buy Replacement Pod Refills

Replacement pod refills are another category likely to be affected by the new legislation.

Whether you use Hayati, Lost Mary, Elux, IVG, Hyola or another brand, refill packs containing eligible vape liquid may become more expensive once Vaping Products Duty is introduced.

As with all vaping products, the amount of duty depends on the liquid volume rather than the manufacturer.

If You Use Shortfills

Shortfills generally contain significantly larger volumes of vape liquid than standard nic salt bottles.

Because the duty increases alongside the amount of vape liquid, larger bottles naturally attract more Vaping Products Duty. Adult vapers who prefer larger shortfills may therefore notice greater price increases compared with those purchasing smaller bottles.

However, shortfills may still offer good value depending on the overall price per millilitre, even after the new duty has been applied.

If You Vape Zero Nicotine Products

One of the questions we're asked most frequently is whether zero nicotine vape liquids are affected by the new vape tax.

The answer depends on how the product falls within the legislation, rather than simply whether it contains nicotine. This is an area where there is often confusion online, so we'll look at zero nicotine products in more detail later in this guide.

Understanding the distinction is important because many adult vapers incorrectly assume that nicotine-free products are automatically exempt from the new duty.

Common Myths About the UK Vape Tax

As with any major change to UK legislation, plenty of myths and misinformation have started circulating online. Let's separate the facts from the fiction.

Myth: Vaping Is Being Banned

False.

The UK Vape Tax does not ban vaping products.

Instead, it introduces a new excise duty on eligible vape liquids supplied in the UK. Compliant vaping products will continue to be available after the legislation comes into force.

Myth: Every Vape Product Will Increase by the Same Amount

False.

Vaping Products Duty is based on the volume of vape liquid, not the retail price or the manufacturer.

Products containing larger amounts of vape liquid generally attract more duty than products containing smaller volumes.

Myth: Only Nicotine Products Are Affected

Not necessarily.

Whether a product is subject to Vaping Products Duty depends on the legislation rather than simply its nicotine strength.

We'll explain how zero nicotine products fit into the new rules later in this guide.

Myth: The Vape Tax Replaces VAT

False.

VAT continues to apply separately.

Vaping Products Duty is an additional excise duty and does not replace existing VAT rules.

Myth: Every Retailer Will Charge Exactly the Same Price

False.

Although the duty itself is fixed according to the legislation, retailers still decide their own selling prices.

This means prices may vary slightly between retailers depending on purchasing costs, promotions and commercial decisions.

How Vapehub Is Preparing for the UK Vape Tax

At Vapehub, we understand that many customers are concerned about how the introduction of Vaping Products Duty could affect the products they buy.

That's why we're already working closely with our suppliers and monitoring official HMRC guidance as the implementation date approaches. Our priority is to ensure we continue offering genuine products, competitive pricing and clear information to help customers understand the upcoming changes.

We'll also continue updating this guide whenever new legislation, official announcements or HMRC guidance becomes available, so you can rely on it as an up-to-date source of information rather than a one-off news article.

As always, our commitment remains the same: supplying authentic vape products, transparent pricing and helpful advice that allows adult vapers to make informed decisions.

Final Thoughts

The introduction of Vaping Products Duty marks one of the biggest changes to the UK vaping industry in recent years. While many adult vapers will understandably focus on how the new duty may affect prices, it's equally important to understand why the legislation is being introduced, how it works and which products are likely to be affected.

As we've explored throughout this guide, Vaping Products Duty is based on the volume of vape liquid, not the brand or retail price of a product. Whether you vape Hayati, Lost Mary, Elux, IVG, Hyola or another manufacturer, understanding how the duty is calculated will help you make more informed purchasing decisions as the new rules come into effect.

At Vapehub, we're committed to helping adult vapers stay informed. We'll continue monitoring official HMRC and UK Government announcements, updating this guide whenever new information becomes available and working closely with our suppliers to ensure we continue offering genuine products, competitive prices and clear advice.

If you're looking to stock up on your favourite vape products before the new legislation comes into effect, explore our extensive range of nicotine salts, prefilled pod kits, prefilled pod refills, shortfills and leading vape brands including Hayati, Lost Mary, Elux, IVG and Hyola.

Whether you're new to vaping or a long-time user, we hope this guide has helped you better understand the UK Vape Tax and what it means for you.