In the UK, a major regulatory change is on the horizon for the vaping industry: from 1 October 2026, the government will introduce a new excise duty, the (VPD), coupled with a mandatory stamp scheme, the (VDS), on vape liquids and associated products. GOV.UK+2Anthony Jones+2
Here’s a breakdown of what you need to know—and how to prepare.
What is changing?
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The duty will apply to vaping liquid (e-liquid) and any substances intended for vaping — whether or not they contain nicotine. GOV.UK+1
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The rate is set at a flat rate of £2.20 per 10 ml bottle of e-liquid. GOV.UK+1
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From 1 April 2026 manufacturers, importers, warehouse keepers must apply for approval under the VPD and VDS scheme. GOV.UK+1
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From 1 October 2026, all vaping products released for sale must carry a duty stamp (VDS). GOV.UK+1
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From 1 April 2027, it will become an offence to hold or supply unstamped vaping products outside duty-suspension arrangements. NG-Terminal
Why is the government doing this?
The duty brings vaping products into a similar regulatory regime as tobacco and alcohol. According to guidance, it is part of the government’s approach to product regulation and excise duties, including reducing uptake among non-smokers and ensuring proper tax and duty compliance. DWF+1
What does this mean for businesses and consumers?
For businesses:
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Manufacturers and importers must apply for HMRC approval well before October 2026, since processing can take up to 45 working days. GOV.UK+1
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You will need to integrate the new duty stamps (VDS) into your packaging, distribution and supply-chain processes.
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There will be added compliance burdens: record-keeping, reporting, paying duty at the correct time, ensuring stamps are present. descartes.com
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Stock management becomes important: any product released without a stamp (after the transition) could become illegal to supply.
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Cost pressures: the duty will increase cost, which may be passed on to retailers/consumers.
For consumers:
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Expect higher retail prices for vaping liquids (and pods/consumables) as the duty is applied.
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Choose suppliers who are compliant — unstamped product may become illegal to sell or supply.
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If you’re a retailer, ensure your suppliers and stock are compliant to avoid risk.
Key dates to remember
| Date | What happens |
|---|---|
| 1 April 2026 | Applications open for VPD approval and VDS scheme. GOV.UK+1 |
| 1 October 2026 | Vaping Products Duty becomes payable; duty stamps must be attached to all retail packaging. windsoraccountancy.co.uk+1 |
| 1 April 2027 | Stamping requirement fully enforced: unstamped products outside duty suspension cannot be supplied legally. NG-Terminal |
Tips for preparation
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Review your supply chain now: manufacturers, importers, warehouse keepers — identify which elements must be approved.
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Check packaging designs, plan for VDS incorporation (stamps, traceability, sealing).
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Plan for cost impact: how will the duty affect your pricing, margins, stock valuation?
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Audit current stock: any product manufactured/imported prior to the cut-off may need special handling.
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Train staff and inform partners about compliance obligations: missing this will carry civil and criminal sanctions. GOV.UK+1
Conclusion
The introduction of the Vaping Products Duty and Duty Stamp scheme is a significant shift for the UK vaping industry. Whether you’re a manufacturer, importer, warehouse keeper or retailer — the time to act is now. Delaying preparation could lead to business disruption, legal risk and financial loss. Plan early, apply for approval, integrate the new systems and ensure your stock and supply chain will be fully compliant by October 2026.