UK Vape Tax 2026: How Much More Are You Paying?

TL;DR

The UK's Vaping Products Duty adds £2.20 per 10ml to every e-liquid, nicotine-free included. With VAT, that's £2.64 per 10ml on your bill. The impact varies by format: prefilled pod users pay 21% more per pack, while shortfill vapers face increases of up to 245%, because the duty taxes volume, not risk. A 100ml shortfill with two nic shots can now cost up to £44.63. Here's the full breakdown of what each product type costs once duty-paid stock reaches the shelves.

Key Highlights

In 2024, the government announced a ban on disposable vapes and a sweeping new tax on all e-liquids. The vaping community had braced for the ban, which took effect in June 2025, but the scale of the levy came as a shock.

The Vaping Products Duty (VPD) came into force on 1 October 2026. It adds £2.20 per 10ml to every bottle of vape juice sold in the UK, nicotine-free liquid included. The worst affected are refillable kits and shortfills, the formats most used by adult ex-smokers and the ones that offer the biggest savings over tobacco.

This tax is aimed at an industry that health professionals endorse(1) as a much safer alternative to smoking, and that remains one of the government's own recommended quit tools through the Swap to Stop scheme. But adult vapers now face steep price increases, potential flavour restrictions, and a black market that will only grow as legitimate costs rise.

Vaping is regarded as the most successful nicotine replacement therapy available, and has helped over 2.7m smokers in the UK quit.(2) The low cost of owning and maintaining a vape kit is one of the biggest motivators for smokers to make the switch.

Here's what the duty means for your wallet now it's live, and why your prices won't all change overnight.

Table of contents

1. Why is there a new tax on vaping?

The vaping duty is part of the government's plan to tackle youth vaping and their vision of a 'smokefree generation'. It followed a 2023 consultation with health professionals and members of the public, where over 70% of respondents said they thought a price increase would reduce youth vaping.

The duty raises the cost of e-liquids to deter under-18s from taking up vaping, alongside the disposable vape ban that came into force on 1 June 2025. All vaping products already carry 20% VAT, and the extra levy is what's known as a 'sin tax'. Sin taxes apply to products like alcohol, tobacco and sugar that are seen as potentially harmful to consumers.

While the number of minors who smoke in the UK is falling, vaping among minors has gone up. According to ASH, the number of young people vaping rose steadily over three years. A 2023 survey found 20.5% of children aged 11 to 17 had tried vaping at least once, up from 15.7% the year before. The number of regular users is much lower, but it rose from 2.0% in 2021 to 3.9% in 2023.(3)

Disposable vapes were the most popular choice among school children, accounting for 69% of the most commonly used devices. In comparison, refillable and prefilled vape kits, the formats now hit by the duty, accounted for only 11% and 12% of use. Flavours have also been blamed for appealing to children, and flavour restrictions are under discussion. The biggest impact of the duty hits the wallets of adult vapers who've chosen to stop smoking.

Director of Vape Superstore, Ed Swain, shared his concerns: 'For many, vaping serves as a crucial tool in transitioning away from combustible tobacco products, offering a safer alternative. The imposition of a tax could price out individuals who rely on vaping as a harm reduction method. The current proposal would see some bottles of e-liquid double in price which will inevitably deter users from continuing their journey towards a smoke free life.'

2. How much has the UK vape tax gone up?

Since 1 October 2026, the duty charges £2.20 per 10ml of e-liquid. The government scrapped its earlier plan to tax vape juice by nicotine content and taxes volume alone. This means zero-nicotine e-liquid carries the duty too.

With VAT, every 10ml vape liquid goes up by £2.64. That takes the average 10ml bottle from £3.95 to £6.59, a 67% rise.

A 50ml shortfill with one nic shot goes up by £15.84, and a 100ml shortfill with two nic shots goes up by £31.68. Each nic shot accounts for £2.64 of that.

That means a 100ml shortfill with nic shots can now cost £44.63.

The duty was first going to be based on nicotine content. But respondents to the government's industry consultation worried that vapers might save money by choosing a lower nicotine strength than they need, which could push them back to smoking when cravings weren't met. So the government settled on one flat rate of £2.20 per 10ml for ALL e-liquids.

The duty is charged on volume, so it hits the cheapest liquid hardest. A 100ml shortfill made up with two nic shots is 120ml of taxable liquid in a £12.95 bottle. That's £31.68 in duty and VAT, a rise of 245%. A twin pack of prefilled pods holds 4ml, so the same rate adds £1.06 to a £4.95 pack, a 21% rise.

Per millilitre, pods stay the most expensive way to vape at £1.50, against 37p for the shortfill setup. The duty shrinks the gap from roughly 11 times to about 4, so shortfills are still much cheaper. They've just stopped being the bargain they were.

Which is where the policy falls down. Shortfills are the format least used by under-18s and the one that puts the least plastic in the bin, and they take the biggest hit. Volume is what's taxed. Nothing in the duty accounts for who buys the product or what happens to the packaging.

3. How much does e-liquid cost in 2026?

The table below shows the average price of e-liquid bottles and prefilled pods before and after the duty. You'll see both prices in shops until 31 March 2027, as pre-duty stock sells through.

Free nic shots bundled with shortfills are on their way out too, so you'll pay extra for those as well. Shortfills used to be the cheapest way to vape by some distance. Prefilled pods take the smallest hit at about 21%, but they're the dearest way to buy e-liquid at £1.50 per ml, against 37p for a 100ml shortfill and two nic shots. Look at the total price and pods seem cheaper. Look at the cost per ml and they're the most expensive. It comes down to how much you're willing to pay upfront to save in the long run.

On a positive note, the government also raised tobacco duty by £2.20 per 100 cigarettes, which it says keeps vaping a financial incentive over smoking.

Even with the duty, vaping is still over six times cheaper than smoking.

The UK isn't alone when it comes to vaping duties. Nearly every country in Europe taxes vaping liquids, and the duty places the UK 10th out of 27 for highest tax rates.

4. The end of the free nic shot

Free nic shots have been standard across the UK. Most shops, us included, threw them in with a shortfill.

That's now coming to an end. A nic shot is 10ml of vaping liquid, so it carries the full £2.20 duty plus VAT the moment it's made or imported. Giving it away doesn't make the duty vanish. Somebody has already paid £2.64 for it before it reaches a shelf, and no shop can absorb that on every bottle it sells.

So as duty-paid stock comes in, nic shots become another line on your basket. Around £2.64 at the absolute minimum, more once the liquid itself is priced in.

A 100ml shortfill takes two. If you get through two 100ml setups a month, that's four shots, or roughly £10.50 a month you weren't paying before.

Which makes pre-duty shots worth picking up while shops still have them.

5. How to beat the 2026 Vape Tax

The duty is fixed at £2.20 per 10ml and there's no safe or legal way round it. What you can change is how much liquid you get through, and when you buy it.

Here are the best ways to cut costs now the vape tax is here.

Use higher resistance coils

Your coil decides how much e-liquid you get through, and it's the best way to control how much you use. Most refillable pod kits use 0.4Ω to 0.7Ω coils. Lower reistance coils use more power, which gets through much more e-liquid. Move to a 0.8Ω or 1.2Ω coil at 12W to 14W and the same day's vaping uses about 2ml to 4ml.

A sub-ohm tank running a 0.15Ω coil at 60W to 80W will get through roughly 6ml to 12ml a day with steady all-day vaping.

At £2.64 in duty and VAT per 10ml, dropping from 8ml a day to 3ml saves you around £40 a month.

Nothing else on this list comes close, and it costs you nothing to try. Higher resistance coils also give you more flavour from less liquid and a tighter draw, which suits anyone vaping mouth-to-lung or looking for a cigarette like experience.

Know how long pre-duty stock lasts

The duty applies to liquid made in or imported into the UK from 1 October 2026. But retailers can keep selling pre-duty stock, until 31 March 2027.

So pre-duty liquid didn't disappear on 1 October. It drains away over about six months as shops sell through what they've got. At Vape Superstore, we're selling our pre-duty stock at its original price while it lasts.

Prices will creep up through autumn and winter rather than jumping in one go. You may even see different prices on different flavours or strengths of the same e-liquid, depending on which stock is on the shelf. If you want pre-duty liquid, watch how long your usual flavour holds out, not the date on the calendar.

Stockpile the liquid that keeps the longest

Buying months of e-liquid up front only works if it's still good to vape when you get to it. Check the best before and expiry dates, and vape your e-liquid in order of expiry.

Shortfills have the best shelf life. There's no nicotine in them to oxidise, and a sealed 100ml bottle kept cool and dark will be fine two years on.

Nicotine liquid is different. Nic salts are stable and can last up to 2 years, whereas freebase darkens sooner and can lose its edge after a year.

Proper storage is important if you're bulk buying. Keep your e-liquids in a cool, dark spot, like a cupboard. They should be sealed, upright, and away from radiators and windowsills. Heat and light can greatly reduce the quality of your e-liquid over time. I don't recommend storing vape juice in the fridge, as extreme cold can also degrade the flavour and cause the ingredients to separate.

Check cost per ml before you switch format

The percentage increases make prefilled pods look like the safest bet. Pods rise about 21%, a 100ml shortfill setup about 245%.

But per ml, pods stay the most expensive option by a large margin. You will pay £1.50 per ml against 37p for a 100ml shortfill and two nic shots.

If you use shortfills and are thinking of moving to pods to escape the duty, you'd end up paying significantly more per ml than you do now. Think of shortfills like bulk buying e-liquid. You pay more now, but net the biggest savings.

Treat "duty free" offers with suspicion

You may see bundles advertised as absorbing or beating the new duty. They can't.

Vaping Products Duty is paid at manufacture or import, months before a bottle reaches a website or shop. By the time a retailer prices it up, the duty is already in the cost.

I set up multi-buys and bundles for a living, and the maths here is simple. Any discount on a post-duty bottle comes out of the retailer's margin, not out of HMRC's. So a deal can only get so big before the retailer is losing money on every bottle.

A real deal on duty-paid stock is a retailer choosing to take less. Worth having, but just don't expect it to cancel out £2.64 per 10ml.

6. Expectations from the UK vape tax increase

The duty is set to raise £445 million by 2028/9, which the government says it will invest in the NHS and in Trading Standards to help tackle the black market.

The government hopes higher prices will make vapes less appealing to teenagers with little disposable income. With the disposable vapes ban already in place, it expects underage vaping rates to fall.

The vaping industry's concerns centre on the financial impact felt through the entire supply chain, from manufacturer to consumer.

Compounding this, the Tobacco and Vapes Act does little to curb black market vape goods, which are bound to grow as consumers look for cheaper alternatives. That could mean further lost earnings for vaping wholesalers and retailers.

7. Will the Tax on Vapes Work?

The argument that the duty acts as a deterrent makes no distinction about where children get their vapes. It doesn't address cornershop vendors trading in black market vapes, the main source of most devices obtained by minors.

A 2023 survey by Action on Smoking and Health (ASH) found that 48% of children got their first vape from a shop.(4) Cornershops and so-called 'American Candy Stores' line the high street, selling unregistered vape products with little regard for who they're selling to.

Director of Vape Superstore, Ed Swain had this to say, 'The Government needs to get a handle on what the real issues are. The disposable ban always felt inevitable, but this is the result of a lack of funding provided to enforce the illicit sale and distribution of illegal products. To suggest that the money earned from this tax will be used to enforce such rogue sellers is disingenuous. The tax is a statement piece of legislation which will only serve to push back the public health progress made through vaping.'

The UK Vaping Industry Association (UKVIA) has been calling for a Vape Industry Licensing Scheme to tackle the surge of illicit vaping products. It would be self-funded, would help trace and stop underground vendors selling illegal vape products, and would bring in much higher penalties of up to £10,000 for underage sales.

Enforcement agencies still can't get a grip on the sale of illicit vapes, so the people hit by the price increase are adult vapers and the legitimate vaping supply chain.(5)

Once duty-paid stock replaces pre-duty stock, the average vaper could spend an extra £20 to £30 a month on vaping. Extra monthly costs risk driving adult vapers away from legitimate sources and straight into the hands of an eager black market.

A Vape Juice Self Assessment...?

Another concern raised during the industry consultation was that the new vape duty would drive consumers to begin making their own vape juice at home, using unhygienic DIY methods.

In response, the government stated, "All vaping products will be within the scope of the duty including those produced at home from base ingredients, such as propylene glycol, vegetable glycerin, flavourings and nicotine. The new vape tax would be implemented at the point of manufacture." (⁶⁾

The government did not mention how they were planning to monitor and tax potentially millions of vapers making e-liquid in their own kitchens.

8. How is the vaping tax affecting the economy?

The UK vaping market supports the economy and eases the burden on health services by reducing the number of smokers, and with it the number of smoking-related illnesses.

In 2023 the vaping industry generated £2.8bn in total revenue. It provides almost 18,000 full-time jobs and is one of the rare industries contributing to both economic value and harm reduction. Thanks to the vaping industry, the NHS saved over £300m in 2019, on top of £310m in tax in 2021.(7)

The duty hits consumer budgets and businesses, and many businesses may struggle to find the money for higher import costs.

Vaping Products Duty is an excise tax, so it starts at manufacturer level. That could hit smaller vape retailers hard, and some may go out of business if they can't cover higher wholesale costs. Higher costs could affect pay, lead to downsizing and job losses in the sector, and force smaller businesses to close.

In short, small vape shops may be priced out of business by the duty. Some may be tempted to source e-liquids from the black market.

9. Frequently Asked Questions

10. Conclusion

Making vaping more expensive hurts an industry that provides thousands of jobs and gives adult smokers a much less harmful alternative, backed by the government and the NHS. It also fails to properly address black market products, which are the main source of vapes for young people.

A higher tax on vape liquids risks making vaping less appealing to adults, which could put smokers off switching and add to the burden on health services. The government says it has offset this with a one-off rise in tobacco duty, but existing vapers could see their costs go up by more than a third, even though vaping is still cheaper than smoking.

Promises to use the extra revenue to fund Trading Standards feel vague, with no concrete plan or action such as an effective Vape Industry Licensing Scheme. The legitimate vaping industry has pushed for this scheme for years, as it would make monitoring and enforcement far more effective.

If millions of vapers turn to making their own e-liquid, the government will need a way to track and enforce the duty on homemade vape juice, or tax the base ingredients. That seems unlikely, given how little control it has over the current black market.

The duty is live, but prices will keep shifting until 31 March 2027 as pre-duty stock sells through. Keep an eye on your usual liquids, and check the cost per ml before you change format.

If you'd like a more comprehensive look at all vaping regulations in the UK, read our UK Vaping Laws blog.

Share your thoughts on the UK Vape Duty in the comments section below.