Preparing for the UK’s New Vaping Duty: Why Businesses Need to Act Now
As the UK prepares to introduce a new Vaping Products Duty in 2026, we are helping businesses get ahead with expert excise support and our powerful e-Customs platform.
The vaping industry is entering a new regulatory era. With excise duty, monthly returns and duty stamps all becoming mandatory, businesses will need to adapt quickly. Those who prepare now will be best placed to navigate the transition smoothly.
Why this matters now
The Vaping Products Duty (VPD) will significantly impact compliance for manufacturers, importers, warehouse keepers and retailers. It brings vaping liquids (including nicotine-free blends) into the scope of excise controls, with duty charged at a single flat rate of £2.20 per 10ml and a new Vaping Duty Stamp (VDS) required on retail packaging.
The introduction of the VPD is a phased change with legal enforcement dates that businesses cannot afford to miss. Planning and systems take time to bed in, so the preparatory window in 2026 is critical.
The key milestones (at a glance)
- From April 1, 2026, approvals open: any business intending to manufacture vaping products in the UK will be required to secure HMRC approval for VPD and the associated Duty Stamps Scheme. Reviews can take several weeks, so it is advisable to submit applications as early as possible
- From October 1, 2026, duty and stamps become mandatory:vaping products released for sale or supplied in the UK must have the correct excise duty paid and a duty stamp affixed to every retail pack. Without both in place, products cannot be lawfully placed on the market. VAT continues to apply as normal
- From April 1, 2027, full compliance is expected: when the grace period ends, any vaping products outside of duty suspension (see below) must carry a duty stamp. Penalties, seizure or prosecution may occur for businesses found with unstamped stock
What changes operationally
Behind the headline dates, the VPD brings a series of practical changes that will affect how businesses manufacture, store and move vaping products.
Record keeping
The new duty brings vaping products firmly into the same excise framework that already applies to alcohol and tobacco. That means businesses will need to be authorized by HMRC, keep detailed production, movement and financial records, and submit monthly duty returns. Returns will be due by the 7th of each month, with payment required by the 15th (or via an approved deferment account).
Duty suspension
For manufacturers and importers, the option of duty suspension will also become a valuable tool. Products stored in approved facilities, such as excise warehouses, can remain under suspension, with the duty only paid when those goods are released for supply in the UK. Once products are packaged for retail, movements under suspension are tightly restricted, therefore, careful planning will be essential.
Vaping duty stamps
A major new feature is the introduction of vaping duty stamps. These highly secure labels must seal retail packaging and, from October 2026, will serve as visible proof that duty has been paid. The stamps will also carry a digital element, such as a QR code, which must be scanned at designated points in the supply chain to create an auditable trail. HMRC has confirmed that a transitional physical stamp will be available before the full digital feature is rolled out.
Overseas manufacturers supplying the UK
Finally, overseas manufacturers seeking to supply the UK market face their own set of requirements. In most cases, they will need to appoint a UK representative who can obtain duty stamps and ensure that products are compliant before they leave customs control. Importers without such arrangements must make sure stamping takes place in the UK before products can be lawfully sold.
Partnering with us for compliance
For businesses manufacturing, importing or distributing vaping products, adapting to excise rules may feel daunting. We can ease the burden by acting as your compliance partner, helping you understand the requirements, put the right systems in place and manage your obligations on an ongoing basis.
We can provide end-to-end support, from guiding you through HMRC approvals to helping you establish clear procedures for handling duty, record-keeping and reporting. We also offer ongoing services to manage customs and excise declarations, provide specialist advice and ensure your operations remain aligned with HMRC’s framework.
By outsourcing these responsibilities to us, you gain access to in-depth knowledge and practical support without needing to build in-house expertise. We will help you stay compliant, avoid penalties and focus on running your core business while we handle the regulatory details.
Take the first step now
The VPD may not come into force until 2026, but approvals and systems cannot be built overnight. By acting early, you will reduce the risk of disruption and be ready for the legal enforcement dates ahead. We provide the specialist support to help you meet these requirements and keep your business moving forward.
Learn more about outsourcing your vaping duty requirements and preparing with confidence by visiting our e-Customs page.
Or please contact:
Andy Maber
Business Development Manger
Trade Facilitation Services
t: +44 (0)151 350 6666
