What's the new duty?
The UK Government is introducing a new tax of £2.20 per 10ml (£0.22 per ml) on all e-liquids. This will be in addition to 20% VAT already applied to vape products.
Note there are no nicotine exemptions. The tax applies to ALL e-liquids, including nicotine-free (0mg) products, DIY mixing ingredients and nicotine salts. It will be charged on vaping products produced in or imported into the UK.
What timelines do I need to know as a retailer?
- 1st October 2026: The Vaping Products Duty officially starts. Mandatory duty stamps are required on all newly imported or manufactured stock.
- 1st October 2026 - 31st March 2027: The sell-through grace period. Stock manufactured or imported before 1st October 2026 without duty stamps can still be legally sold by retailers during this window.
What further vape legislation do I need to be aware of?
The Tobacco and Vapes Bill will come into effect on 1st January 2027.This includes a generational ban on the sale of tobacco. Read our Talking Shop article to understand how to prepare.
How are we supporting our retailers at Co-op Wholesale?
We recently announced a package of investment in vape, which included lowering upfront prices, providing a simpler commercial model for retailers and a significantly expanded range.
We also hosted a webinar with ACS and Aquavape ahead of the new legislation coming into force. We'd encourage Co-op Wholesale retailers to get in touch with their account manager who can provide a recording of the session.