The Vape Tax Explained: What It Actually Means for DIY Mixers

The UK vape tax starts on 1 October 2026. It matters whether you mix your own e-liquid or buy ready-to-vape.

The official name is Vaping Products Duty, or VPD. The rate is 22p per ml on vaping products manufactured in or imported into the UK from that date.

That includes more than just ready-made e-liquid. Based on the legislation and current HMRC guidance, products sold for vaping can be caught even if they contain no nicotine and even if you have to mix them before using them.

So yes, DIY mixers need to pay attention.

What Is the Vape Tax?

Vaping Products Duty is a new excise duty on vaping products.

The rate is:

• 22p per ml
• £2.20 per 10ml
• £22.00 per 100ml
• £110.00 per 500ml
• £220.00 per litre

This is not VAT. It is a separate duty, and VAT is then charged on top of the duty-inclusive price. So the practical increase is not just £2.20 per 10ml. Once VAT on the duty is included, the tax effect is £2.64 per 10ml.

That is the bit a lot of people miss, and it makes it unfortunately even more expensive than you might expect.

Who Pays It?

The duty is dealt with upstream by manufacturers and importers, not by you at the till as a separate checkout tax.

But the cost still ends up in the retail price. It has to. If a product carries an extra £2.20 per 10ml in duty, plus VAT on that duty, that cost has to be built into the price somewhere.

So even though you are not filing a VPD return as a customer, you will see the effect when you buy vaping products after the duty starts.

Does It Apply to Concentrates, VG and PG?

This is the big DIY question.

The law looks at whether a liquid is intended to be vaporised by a vape. It also says a product may still be a vaping product even if the customer needs to mix it with something else before vaping it.

In plain English: if we sell a liquid on a vaping website, for use in vaping, we should expect HMRC to treat it as a vaping product unless HMRC confirms otherwise.

That means VPD is expected to apply to:

• Flavour concentrates sold for vaping
• VG and PG base liquids sold for DIY e-liquid mixing
• Nicotine shots
• Shortfills
• Bottle Shots and One Shots
• Longfills, based on the volume of liquid in the bottle when sold

We know some customers will say, “but VG and PG have other uses”. That is true. But context matters. If it is sold for vaping, through a vaping business, with vaping instructions, that is very different from a food, cosmetic or industrial supplier selling the same raw material for a different purpose.

We are taking the conservative view, because we would rather be straight with you now than pretend there is an easy way around it.

What Will It Do to Prices?

Here is the duty impact before normal product cost is added:

Product: Flavour concentrate

Volume: 10ml
Duty: £2.20
VAT on duty: £0.44
Duty plus VAT: £2.64

Product: Nicotine shot

Volume: 10ml
Duty: £2.20
VAT on duty: £0.44
Duty plus VAT: £2.64

Product: One Shot

Volume: 30ml
Duty: £6.60
VAT on duty: £1.32
Duty plus VAT: £7.92

Product: Shortfill

Volume: 100ml
Duty: £22.00
VAT on duty: £4.40
Duty plus VAT: £26.40

Product: VG or PG base

Volume: 250ml
Duty: £55.00
VAT on duty: £11.00
Duty plus VAT: £66.00

Product: Base mix

Volume: 1 litre
Duty: £220.00
VAT on duty: £44.00
Duty plus VAT: £264.00

That is before the cost of the product itself, packaging, labour, shipping, card fees, VAT on the underlying product price and everything else involved in getting a product to you.

So when we say this is a big change, that is why.

The Base Liquid Problem

Large bottles of VG, PG and base mix are hit hardest because the duty is based on volume.

A 500ml bottle of VG or PG carries £132 in duty and VAT on duty before the actual product price is even added.

A litre of base mix carries £264 in duty and VAT on duty.

That is not a normal price rise. It changes whether those products can realistically be sold in the same way after October.

This is why we have been talking about base so much. Not because we want to panic anyone. Because the numbers are the numbers.

What Is Not Changing?

There is still good news.

Mixing duty-paid liquids at home is still legal. If you buy duty-paid vaping products and mix them yourself, for example adding a duty-paid nic shot to a duty-paid shortfill, that is not the same as manufacturing non-duty-paid vaping products for sale.

DIY can still save money. The exact saving depends on what you buy, but mixing your own e-liquid should still be cheaper than relying on ready-made products.

That format difference is going to matter.

What About Duty Stamps?

Duty stamps are part of the new system. They are used to show that a vaping product has gone through the VPD stamp system.

That is something we handle as the manufacturer. You do not need to apply stamps yourself.

There are also transitional rules for products manufactured or imported before 1 October 2026. In simple terms, stock made before the duty starts is treated differently from new production after the duty starts. We will keep customers updated as the rules develop and as stock moves through the supply chain.

What Should You Do Now?

If you mix your own e-liquid, the sensible priority is base liquid, and potentially mixing your liquids before October to avoid creating a vaping liquid after the duty is implemented.

VG and PG store well if kept sealed, cool and away from light. Nicotine shots are worth thinking about too.

A practical order of priority looks like this:

1. VG, PG or base mix, because this is where the duty increase is biggest
2. Nicotine shots, because they get more expensive and you need them for most mixes
3. Favourite concentrates, especially flavours you already know you use regularly

Do not buy things you will never use. Do not put yourself under pressure. But if you know you mix regularly, it is worth looking at what you realistically get through and planning ahead.

The Bottom Line

The vape tax is coming, and it will affect DIY mixing.

Base liquids are the big one. Nic shots will cost more. Concentrates will cost more too, but they should still give DIY mixers one of the best routes to value because a small amount of concentrate can go a long way.

We will keep breaking this down as things develop. For now, the main thing is simple: if you use VG, PG, base mix or nic shots regularly, start planning before October.

You can browse our VG and PG base range, nicotine shots, or flavour concentrates if you want to get ahead of it.

This article is customer guidance based on our current understanding of public VPD information. It is not legal or tax advice, and details may change as HMRC guidance develops.