Vape tax comes into force with prices set to rise

Vape tax comes into force with prices set to rise

A new tax on vaping products is set to increase the prices of vapes in the UK, aiming to discourage use among children and young people. The Vaping Product Duty will charge £2.20 for every 10ml of e-liquid sold. Despite this, many consumers may not experience immediate price hikes because retailers have a six-month grace period to sell existing inventory at the old prices before the tax is fully applied.

The government’s rationale behind the tax is to reduce the attractiveness of vaping, especially given emerging evidence that highlights its negative health impacts on young users. The charge will be applied uniformly to all vaping products, regardless of whether they contain nicotine or not. Alongside this measure, tobacco taxes were also increased on the same day, with a £2.20 rise per 100 cigarettes or 50 grams of tobacco. HM Revenue & Customs (HMRC) emphasized that this sustained a financial incentive for smokers to switch to vaping.

Opinions among vapers about the potential impact of the new tax vary. In Reading, 19-year-old Mackenzie Bird, a regular vaper for three years, expressed that the duty would not deter her from continuing to vape, suggesting instead she might just buy more in advance. On the other hand, Cara Lewis-Rimes and Dylan Killner indicated the higher prices might influence them to reduce or stop vaping. Cara believes financial pressures due to the rising cost of living would force some users to cut back, while Dylan mentioned his health concerns, stating, “I don’t think it’s doing me any favours… the health factor around it as well is not great.”

To curb illegal trade in vaping products, HMRC will introduce a traceable stamp that must be displayed on all vape products sold in the UK from April. This is part of wider government efforts to tackle the growing problem of illicit vape sales on high streets. Additionally, new planning rules in England require any new vape or e-cigarette retailers to obtain local council approval before opening. Health Minister Karin Smyth underscored the importance of these measures in reducing youth vaping by making products less affordable and limiting their availability. Financial Secretary to the Treasury James Murray reaffirmed support for retailers who comply with legal regulations.

However, some in the vaping retail sector fear the new tax could threaten their businesses. Jordan Apap, a sales assistant at Berkshire Vapers, worries that specialist vape shops that provide expert advice might struggle to survive, contrasting with convenience stores and phone shops that also sell vaping products but offer less guidance. He expressed a concern that legitimate vape shops could disappear within a couple of years. The UK Vaping Industry Association’s director general, John Dunne, described the tax as “nothing short of a tax on public health.” He highlighted that vaping has helped millions reduce or quit smoking and argued that protecting young people should focus on combating illegal sales rather than increasing prices for lawful consumers.

While experts acknowledge that vaping is significantly safer than smoking traditional cigarettes, they caution that it is not without risks, and the long-term effects remain uncertain. A recent examination of vaping-related studies linked it to several health issues among children and adolescents, including respiratory problems such as wheezing and coughing, poor oral hygiene, disturbed sleep, mental health difficulties, and eye discomfort. The NHS has made clear its position that children and non-smokers should avoid vaping altogether

Read the full article from The BBC here: Read More