HMRC has updated guidance on the Vaping Products Duty (VPD) and Vaping Duty Stamps (VDS) scheme. UK businesses producing vaping products must apply for approval by 1 October 2026, pay the duty, and attach stamps to retail products, with full compliance required from 1 April 2027.
The UK’s tax authority (HMRC) has updated its guidance on preparing for vaping products duty and the vaping duty stamps scheme on 10 February 2026.
Purpose of the policy
Vaping Products Duty was introduced in autumn 2024, with Vaping Duty Stamps following in spring 2025. The VPD is an excise duty on all substances intended for vaping, including e-liquids and homemade mixtures containing propylene glycol (PG), vegetable glycerine (VG), and flavourings.
From 1 April 2026
Businesses that make or plan to make vaping products in the UK must apply for approval under the VPD and VDS scheme. Applications should be submitted at least 45 working days in advance to allow HMRC to complete checks and request additional information if needed. Applications must be submitted by a single legal entity; joint applications will be rejected. Production without approval by 1 October 2026 is illegal and may result in civil or criminal penalties, including potential prison sentences.
Approval and purchasing duty stamps
Once approved, businesses can buy vaping duty stamps from the specialist supplier designated by HMRC. Details of the online portal for purchasing stamps will be included in the approval letter.
From 1 October 2026
Approved businesses must pay the VPD, attach a vaping duty stamp to each individual retail product, and continue paying VAT on vaping products.
From 1 April 2027
All vaping products outside of duty suspension in the UK must display a vaping duty stamp.
