HMRC has launched a crackdown on illicit sales in UK shops, from small local sellers to big retailers, with new measures effective from Thursday, October 1. The tax office confirmed the Vaping Products Duty and Vaping Duty Stamps Scheme are now in operation, affecting all vaping liquids manufactured in or imported into the UK from that date.
New duty and stamp requirements
All vaping liquids are now subject to excise duty, and the new vaping duty stamps will start appearing on retail packaging. Financial Secretary to the Treasury James Murray warned: "No stamp, no sale." He explained that the measures aim to cut youth vaping amid growing concerns over negative health effects, and that stamps on vapes sold in shops form part of the strategy to tackle illicit vape products on UK high streets.
From this week, Vaping Products Duty is charged at £2.20 per 10ml of vaping liquid, paid by manufacturers, importers, and warehousekeepers approved by HM Revenue and Customs (HMRC). Whether the duty cost is passed on to retailers and consumers is a commercial decision.
Digital traceability and grace period
The Vaping Duty Stamps Scheme provides digital traceability throughout the supply chain. HMRC says this will enhance consumer protection and help the high street by "strengthening the fight against illicit trade."
A six-month grace period means wholesalers and retailers can sell existing eligible unstamped, non-duty liable stock until 31 March 2027.
Mr Murray said: "Our new measures will help get illicit vapes off high streets across the country. We’re backing all those retailers who play by the rules by making it easier for law enforcement agencies to take action against those who don’t."
Health advice and traveller rules
Karin Smyth, minister of state for health, said: "Our public health advice is clear: while vaping is less harmful than smoking and can help adult smokers to quit, children and non-smokers should never vape." She added: "These measures are an important step in our ambition to tackle youth vaping by reducing the affordability of vaping products, which goes hand-in-hand with the work we are already doing to tackle the appeal and availability of vapes on our high streets."
New personal allowance rules also apply to travellers bringing vaping products into the UK. Travellers arriving in Great Britain can bring up to 50ml of vaping liquid for personal use without paying duty and tax. Amounts above this must be declared, with duty paid on the full quantity.
