The introduction of the UK's Vaping Products Duty (VPD) marks one of the biggest changes the vaping industry has seen in years. Unlike taxes that target specific products or nicotine strengths, this duty is based entirely on the amount of e-liquid contained within a product.
As a result, devices and e-liquids that use larger volumes of liquid will experience the biggest price increases, while smaller-capacity systems and low-consumption vape kits are likely to become more attractive to budget-conscious vapers.
1. Understanding the New Vape Duty
The Vaping Products Duty applies a fixed charge to every 10ml of vape liquid sold in the UK.
Key figures
- Vape Duty: £2.20 per 10ml of e-liquid
- VAT applied to the duty: 20%
- Total additional retail cost: £2.64 per 10ml
- Equivalent increase per millilitre: 26.4p
Because the duty is linked directly to liquid volume, a product containing more e-liquid will incur a larger tax charge regardless of its nicotine strength or device type.
2. Which Products Are Most Affected?
The impact varies significantly between different vaping formats.
Prefilled Pods
Products using 2ml prefilled pods are expected to see some of the smallest increases. Since each pod contains a limited amount of e-liquid, the duty added to each purchase remains relatively low.
For many consumers, particularly those transitioning away from disposable vapes, these products may remain one of the most affordable options at the point of sale.
Refillable Pod Systems
Refillable pod kits themselves are not taxed, but the e-liquid used to refill them is.
A standard 10ml bottle will attract the full duty charge, increasing the cost of everyday vaping. While refillable systems are still expected to offer long-term savings compared with many alternatives, some users may begin seeking coils and devices that consume less liquid.
High-Capacity "Big Puff" Devices
Devices that combine a 2ml pod with a larger refill reservoir could face some of the most noticeable price increases.
The larger the total liquid capacity, the larger the duty payable. Products previously marketed around high puff counts may lose some of their value advantage once the additional tax is applied.
Shortfills
Large shortfill bottles are expected to experience the most dramatic increase.
A 100ml shortfill attracts ten times the duty of a 10ml bottle, creating a substantial increase in retail pricing. For regular sub-ohm users who consume significant amounts of liquid, this could noticeably increase monthly vaping costs.
3. Why Coil Choice Could Matter More Than Ever
The new tax structure creates a clear distinction between low-consumption and high-consumption vaping styles.
Mouth-to-Lung (MTL) Vaping
MTL devices typically operate at lower wattages and use less e-liquid throughout the day. A typical 1.2Ω pod setup may only consume around 3ml of liquid daily, making it far more economical under a volume-based tax system.
Benefits of MTL vaping include:
- Lower e-liquid consumption
- Longer battery life
- Reduced ongoing running costs
- Greater efficiency when using nicotine salts
Sub-Ohm Vaping
Sub-ohm devices are designed for higher power output and larger vapour production. While many users enjoy the increased airflow and cloud production, these devices generally consume substantially more e-liquid.
A heavy sub-ohm vaper can easily use several times more liquid than an MTL user, meaning the total amount paid in vape duty could be considerably higher over the course of a month.
4. Practical Ways to Reduce Your Vaping Costs
While the duty cannot be avoided on taxable products, there are several ways vapers can reduce the overall impact on their budget.
Consider Higher-Resistance Coils
Coils in the 1.0Ω to 1.4Ω range typically operate at lower wattages and require less e-liquid to deliver a satisfying vape.
Use Appropriate Nicotine Strengths
Many vapers find that 10mg or 20mg nicotine salt e-liquids provide quicker satisfaction, helping reduce overall liquid consumption compared with lower-strength alternatives.
Adjust Device Settings
If your device allows wattage adjustment, operating within the lower end of the recommended range can improve liquid efficiency without sacrificing performance.
Tighten Airflow
A more restricted Mouth-to-Lung draw generally consumes less liquid than a wide-open Direct-to-Lung setup.
Choose Efficient Refillable Systems
Modern refillable pod kits can provide excellent flavour and nicotine delivery while using a fraction of the e-liquid consumed by high-powered sub-ohm devices.
5. What This Could Mean for the Future of Vaping
The Vaping Products Duty fundamentally changes the economics of vaping by focusing on liquid consumption rather than hardware.
Products that use smaller amounts of e-liquid are likely to become increasingly attractive, while high-capacity devices and large-volume shortfills may become significantly more expensive to use on a regular basis.
For many vapers, efficiency is likely to become just as important as flavour, battery life, or puff count when choosing their next device.
6. Prepare Before Prices Rise
If you have favourite e-liquids, nicotine salts, or vape kits that you use regularly, reviewing your setup before the duty takes full effect could help you better understand how future costs may change.
Exploring more efficient pod systems, higher-resistance coils, and lower-consumption vaping styles may help reduce the long-term impact of the new tax structure.
Disclaimer
The figures and examples provided in this article are intended for informational purposes only and are based on the published Vaping Products Duty rate of £2.20 per 10ml of e-liquid, plus standard UK VAT. Product prices, consumption levels, and projected monthly costs are illustrative examples and may vary depending on retailer pricing, promotional activity, product selection, and individual vaping habits.