UK Vape Duty Scheme Will Come Into Effect From October 2026

Starting from October 1, 2026, the UK will implement the “Vaping Products Duty” and the accompanying “Vaping Duty Stamps“.

All vaping products must be affixed with tax stamps to combat tax evasion and illegal sales. The tax stamp will only be used by approved manufacturers and importers and will be regulated by HMRC.

Quick overview of key points
1. The UK government will implement the Vaping Products Duty (VPD) from October 1, 2026, and simultaneously launch the Vaping Duty Stamps (VDS).
2. All vape products produced or imported in the UK must bear a tax stamp, which is only issued to approved manufacturers and importers.
3. Enterprises need to apply for approval from HM Revenue and Customs (HMRC) starting from April 1, 2026.
4. The transitional seal system will be introduced before its official implementation to assist enterprises in the transition.
5. Illegal behavior will face confiscation of goods, civil penalties, and criminal sanctions; If a crime is involved, the court may prohibit the premises from continuing to operate as an vape store.

According to the new system, all vape products manufactured or imported in the UK must bear a tax stamp, which is only issued to manufacturers and importers approved by HM Revenue and Customs (HMRC). Starting from April 1, 2026, companies can apply for relevant qualifications.

The government stated that the Vaping Duty Stamps program will help law enforcement agencies and retailers identify unpaid products and illegal goods, and provide the public with identification criteria.
This measure also includes enforcement mechanisms such as confiscation of goods, civil fines, and criminal penalties, and the court has the right to prohibit the involved premises from being used for the sale of vapes again.

In addition, HMRC will be authorized to share relevant information with other public institutions to collaborate in combating the illegal trade of vapes.
This plan is part of the government’s expansion of the tobacco regulatory system. The relevant legislation will be included in the Finance Bill 2025-26 and supporting secondary regulations will be issued in March 2026.

I noticed this sentence “while ensuring fair competition and effective tax collection”.
Yes, I did three months of customer visits and market research in the UK last year.
I noticed that the largest local brand IVG (I Vape Great) is covered with billboards in the London market. This is the best-selling compliant e-cigarette brand in the UK. Their 4-in-1 has captured a huge consumer market in the UK.
In addition, I also visited Bloody Bar, which is the first compliant electronic cigarette in the UK to adopt a 2+10 design. Their CEO Bindra warmly welcomed me. I understand that their sales of millions of units, stable quality, and excellent localized flavors have made them the industry’s top sellers for the first time.
Hot selling Chinese vape brands include SKE, Elux, Lost Mary, and others.
I think vaping products tax have benefits:
1. Protect compliant brands and effective tax collection.
2. Protect local brands as much as possible, and effective tax collection.