Vaping Products Duty: What UK Retailers and Wholesalers Need to Do

Vaping Products Duty has been applied in the UK since 1 October 2026. For most retailers and wholesalers, the headline is reassuring: if you only buy and sell duty-paid products, you do not need to apply to HMRC for approval. The harder part is practical. Stamped and unstamped stock now sit side by side on shelves and in warehouses, a grace period is running, and from 1 April 2027, holding unstamped products can lead to seizure and penalties.

This guide explains what the duty is, what it means for businesses that only buy and sell, how to check stock when it arrives, which records to keep, and what vapers should know. It draws on HMRC's published guidance, and every date and figure below comes from it.

The short answer

• Vaping Products Duty is a flat £2.20 per 10 ml of vaping liquid, whether or not it contains nicotine.
• If you only sell or distribute duty-paid vaping products, you do not need HMRC approval for the duty or the stamps scheme.
• Since 1 October 2026, new stock must carry a vaping duty stamp where one is required.
• Unstamped stock produced or imported before 1 October 2026 can be stored and sold until 31 March 2027.
• From 1 April 2027, you must not sell unstamped vaping products, and HMRC says you should not hold them either.
• Keep your records for at least six years.

What is the Vaping Products Duty?

Vaping Products Duty is an excise duty on vaping liquid, often called e-liquid. It applies to liquid in bottles, cartridges, and pods, and to substances intended for vaping, such as propylene glycol, vegetable glycerine, and flavorings. It applies whether or not the liquid contains nicotine, so nicotine-free products are covered too.

The rate is flat: £2.20 for every 10 ml of liquid. The duty is charged on the volume of liquid, not on the price of the product, so a larger refill carries more duty than a smaller pod regardless of the brand. For duty-paid stock, the duty is settled further up the supply chain, which is why a compliant supplier's price should already reflect it.

What the duty means in pounds

The table below uses simple pro rata arithmetic from the HMRC rate to show the scale. It is an illustration only, and your supplier's invoice is what counts. VAT still applies as well.

This gives you a useful sense check. If a quote for new stock is far below what the duty alone would imply, ask the supplier how the price has been reached, and ask to see evidence that the stock is duty-paid.

Do retailers and wholesalers need to register with HMRC?

Not if you only sell or distribute duty-paid vaping products. HMRC's guidance says that wholesalers and retailers in that position do not need to apply for approval for Vaping Products Duty or the Vaping Duty Stamps Scheme. HMRC's definition of who this covers is broad: retailers, wholesalers, distributors, cash and carry businesses, convenience stores, specialist vape shops, and online sellers.

You may need approval and extra obligations if your business also manufactures, imports, stores products under duty suspension, affixes duty stamps, or represents an overseas manufacturer. If you are unsure which side you fall on, HMRC's check if you are impacted tool is the place to start before you buy or sell stock under the new rules. Our stockist guide explains the difference between a stockist and a producer in more detail.

What are vaping duty stamps?

Vaping duty stamps are secure physical stamps with multiple security features. Digital stamps also carry a scannable code that allows the product to be authenticated and traced through the supply chain. The main points for a retailer are

• The stamp is rectangular, 42mm long and 18mm wide.
• It must be fixed to the outermost retail packaging in a way that stops the pack being opened without damaging the packaging or the stamp.
• A stamp cannot be reused once it has been affixed.

In practice, this means the stamp should be on the box a customer buys, and it should be intact. A stamp that is missing, damaged, reused, altered or stuck to the wrong packaging is a warning sign.

Key dates for retailers and wholesalers

The grace period exists to help businesses clear stock made or imported before the scheme began. It does not cover unstamped products made or imported on or after 1 October 2026.

What to check when stock arrives

HMRC's guidance sets out what you should check when you buy vaping products from a supplier. Turn it into a routine that happens on every delivery:

1. Is a stamp required, and is it there? From 1 October 2026, check that new stock has a stamp where one is needed.
2. Is the stamp on the outermost retail packaging, and does it seal the pack?
3. Where did the products come from? Make sure the delivery note and invoice match the supplier you ordered from.
4. If the stock is unstamped, was it produced or imported before 1 October 2026? Ask for evidence, such as batch dates or import records.
5. Does the supplier look credible? A genuine supplier can provide normal commercial records such as invoices and delivery notes.

HMRC says that if anything looks wrong, unclear or inconsistent, you should resolve it before buying or selling the products. If you cannot satisfy yourself that the stock is legitimate, you should not buy, supply or sell it. If a stamp appears damaged, reused, missing, altered or on the wrong packaging, contact the supplier, ask for an explanation, and keep a record of the answer and what you did.

How to run down unstamped stock before 1 April 2027

If you hold unstamped stock, the grace period gives you time, but not unlimited time. HMRC's options for unstamped stock are to sell it, return it to your supplier, export it, destroy it, or otherwise deal with it lawfully before 1 April 2027. A practical plan looks like this:

1. Count it now. List every unstamped product you hold, by product, quantity and location, including stock in a second store, a stockroom or an online fulfilment area.
2. Prove its age. For each batch, record when it was produced or imported and keep the supporting paperwork. This is your evidence that the stock sits inside the grace period.
3. Set a sell-through schedule. Work out how much you realistically sell each month and what that leaves on 31 March. Anything that will not sell in time needs a decision now, not in March.
4. Talk to your supplier about returns. Agree early whether unsold unstamped stock can be returned or exchanged for stamped stock.
5. Stop buying unstamped stock you cannot justify. Do not take new unstamped products without a documented reason why they qualify for the grace period.

The cost of leaving this too late is real. HMRC says that from 1 April 2027 it may seize goods, charge penalties and, in the most serious cases, carry out a criminal investigation. A conviction can lead to an unlimited fine, imprisonment or both.

Records you should keep

HMRC says that businesses selling or handling vaping products should keep records for at least six years. For wholesalers and retailers, the records should show where products came from, what you sold, and what checks you made to confirm products were legitimate. That includes:

• the supplier's name, address and contact details;
• invoice numbers, delivery notes and the dates stock was received;
• what you bought, held, supplied and sold, with the volume and whether the retail pack carried a stamp;
• when products were produced or imported, where you rely on the grace period;
• the checks you made on the supplier and the stock;
• what you did when stock was unstamped, unclear or looked non-compliant, including any suspected counterfeit or faulty stamps.

A simple log is enough to start with:

HMRC's wider record-keeping guidance also says records must be complete, legible and retrievable without delay, in English or readily convertible into English, and available at your place of business or another agreed location. Electronic records must be backed up and exportable in a readable format. It also lists inventory counts at least quarterly among the regular checks businesses should operate, and that is a sensible habit even for a small shop.

Mistakes to avoid

• Treating a stamp as proof that a product is legal to sell. The stamp shows the duty position. It does not replace MHRA notification, the product limits, or the rules on single-use vapes. Our guide to reusable vape rules covers those checks.
• Accepting 'it is old stock' without evidence. The grace period only helps you if you can show the stock was produced or imported before 1 October 2026.
• Leaving the sell-through until March. Unsold unstamped stock on 1 April 2027 is a risk you can avoid by planning now.
• Keeping evidence only in email threads. Records need to be retrievable without delay if HMRC asks.
• Forgetting stock outside the main shop. Storerooms, delivery vehicles, online fulfilment and returned goods all count as stock you handle.

What vapers should know

The duty and stamps are mainly a supply chain issue, but they matter to customers in a few practical ways.

• Look for the stamp. Until 31 March 2027 some older products will legitimately be on sale without one. From 1 April 2027 unstamped products should not be on sale at all.
• Prices may change. The duty is built into the price of stamped, duty-paid stock, so some products may cost more than they did before.
• Shops should be able to say where stock came from. A retailer that keeps proper records will usually be happy to answer that question.
• Report suspected illicit products. HMRC asks people to report products they suspect are illicit, counterfeit or unstamped when they should be stamped, either to HMRC or to local Trading Standards.

Our guide to spotting a fake vape explains other checks that apply to the pack itself.

This week, count your unstamped stock, write down when each batch was produced or imported, and start a delivery log. If you are looking for a trade supplier and want to understand what a compliant account looks like, you can read about our wholesale service.

Sources: HMRC, Handling wholesale or retail vaping products in the UK (GOV.UK, updated 7 October 2026); HMRC, Keeping records for Vaping Products Duty and the Vaping Duty Stamps Scheme (GOV.UK); HMRC, Preparing for Vaping Products Duty and the Vaping Duty Stamps Scheme (GOV.UK).

Frequently asked questions

Do I need to register with HMRC to sell vapes?

Not if you only sell or distribute duty-paid vaping products. HMRC says you do not need to apply for approval for Vaping Products Duty or the Vaping Duty Stamps Scheme. You do need approval if you also manufacture, import, store products under duty suspension, affix stamps or represent an overseas manufacturer.

Does the duty apply to nicotine-free vapes?

Yes. The duty applies to vaping liquid whether or not it contains nicotine.

Can I still sell unstamped stock after 1 October 2026?

Yes, if the stock was produced or imported before 1 October 2026, and only until 31 March 2027. Keep evidence that the stock qualifies, because HMRC expects you to be able to show it.

What happens if I sell unstamped products after 1 April 2027?

HMRC says it may seize goods and charge penalties, and in the most serious cases carry out a criminal investigation. On conviction, penalties can include an unlimited fine, imprisonment or both.

How long do I need to keep records?

At least six years. Records must be complete, legible and retrievable without delay.