Vaping duty in the UK: who pays it and when, under HMRC rules

HMRC has published guidance on GOV.UK called "Pay Vaping Products Duty", explaining how approved UK manufacturers should pay the new excise duty on vaping products. The guidance page itself was not accessible to us, so what follows draws on the general rules in other official government announcements. We do not cover payment methods or how long a payment takes to reach HMRC.

What is Vaping Products Duty

The new duty came into force in the UK on 1 October 2026. According to the government, it is meant to reduce the affordability and appeal of vaping, especially among young people and non-smokers. The rate is £2.20 per 10ml of liquid. For example, a 2ml pod carries 44 pence of duty, and a 10ml bottle carries £2.20.

The duty applies to all liquids made in or imported into the UK from 1 October 2026, with or without nicotine. The exception is products held in duty suspension, such as in an authorised customs or excise warehouse. In that case the duty is paid when the goods leave the warehouse.

Who pays and when

The duty is paid by manufacturers, importers and warehousekeepers approved by HMRC. The government stresses that it is a commercial decision whether the cost is passed on to retailers and consumers. Importers pay when goods arrive in the UK, unless they enter duty suspension.

Under earlier HMRC guidance, manufacturers submit a monthly online return by the seventh day of the following month. It covers the whole previous calendar month. The duty shown on the return must be paid by the 15th day of the month after the accounting period. If that day falls on a weekend or bank holiday, the deadline moves to the next working day.

Duty stamps and the transition period

Products must carry a digital vaping duty stamp on their retail packaging. HMRC has introduced a six-month grace period: wholesalers and retailers may sell existing stock without stamps and without duty until 31 March 2027. From 1 April 2027, all vaping products sold in the UK must carry a valid stamp, and consumers should only buy stamped products.

Businesses without HMRC approval after 1 October 2026 cannot make vaping products in the UK. They may also face delays and civil or criminal sanctions.

What this means for you

The news mainly affects business owners: manufacturers, importers and warehousekeepers. They need HMRC approval and must keep to return and payment deadlines. Shop owners should note the 31 March 2027 date for stock without duty stamps. Consumers may see price changes, although the government does not say whether the duty will be passed on to customers.