The biggest change is a new tax on vaping products, while tobacco products are also set for a one-off increase
Millions of smokers and vapers will be hit by a double whammy of price increases later this year,
The biggest change is a new tax on vaping products, which is set to come into force from October 1, 2026. The new Vaping Products Duty will add a flat rate of £2.20 per 10ml to the price of all e-liquids, regardless of its nicotine strength.
It is predicted that a 10ml bottle which costs £3.99 now could rise to £6.63 with VAT included, according to vapeshop.co.uk. Larger refill bottles are likely to see even sharper increases.
One bigger bottle 50ml which currently costs £11.99 could rise to £25.20 with VAT. Tobacco products will also become more expensive from October 1, 2026, thanks to a planned one-off duty increase.
Tobacco duty will increase by the Retail Prices Index (RPI) measure of inflation, plus two percentage points with an additional £2.20 per 100 cigarettes and £2.20 per 50g on all other tobacco products.
Tobacco duty generally rises every year after the autumn Budget. It comes after the Tobacco and Vapes Bill, which will stop people currently aged 17 or younger ever buying cigarettes, was backed by peers last month.
As part of the proposed new law, shopkeepers will not be allowed to sell tobacco or herbal smoking products, or cigarette papers, to people born on or after January 1, 2009.
The Bill must go through Parliament and both the Commons and Lords must agree on the final wording before it becomes law. As part of the draft new law, adults who try to buy vaping or nicotine products on behalf of children will face a fine.
Ministers are also set to gain new powers to control the flavours and substances in smoking products, including vapes, along with the appearance, size, texture and shape of packaging.
Health minister Baroness Merron told the Lords: “Smoking’s the number-one preventable cause of death, disability and ill health, and tobacco claims around 80,000 lives every year.
“And whilst tobacco remains the greatest threat, this legislation is about protecting future generations not only from the harms of tobacco but from nicotine addiction.”
Jamie Strachan, operations director at VPZ, a vaping retailer with more than 190 shops throughout the country, said: “Passage of the Tobacco and Vapes Bill marks an important moment for public health policy in the UK.
“Responsible regulation is essential to protect young people and we have long supported measures that maintain high retail standards while ensuring adult smokers can still access safer alternatives to combustible tobacco.
“However, the continued presence of high-capacity disposable devices designed to circumvent existing limits risks undermining both consumer protections and responsible retailers.
“As the Government now develops the detailed regulations that will implement the legislation, strong enforcement and clear product standards will be critical.”
