United Kingdom introduces new Vaping Products Duty

The United Kingdom has implemented a new Vaping Products Duty (VPD), introducing an excise charge on vaping liquids effective October 1, 2026. The duty is set at a flat rate of £2.20 per 10ml of liquid, regardless of nicotine content.

While the duty is paid by manufacturers, importers, and warehousekeepers, the final impact on consumer prices depends on whether businesses choose to pass these costs down the supply chain. The tax affects various formats, including e-liquids, prefilled pods, and ready-to-use products.

Retailers, including specialist shops on the Isle of Wight, face potential challenges in maintaining customer bases as consumers become more cost-conscious. A six-month grace period allows for the sale of existing unstamped stock, but by April 1, 2027, all vaping products sold in the UK must carry a valid duty stamp.