Vaping Products Duty (VPD) and the Duty Stamp Scheme come into effect from 1 October 2026, introducing new requirements for vaping products supplied in the UK.
For manufacturers and brands, that means preparing products, packaging and production processes for the new duty and stamping requirements.
Own Label Creations has been preparing for the transition well ahead of implementation. From our UK manufacturing facility, we’re putting the processes and capabilities in place to support compliant production and help our customers prepare their ranges for the new regime.
Whether you manufacture with us already or are reviewing your supply chain ahead of VPD, we can help you understand what the changes mean for your products and the route towards October.
Our UK manufacturing facility is being prepared for the operational requirements of Vaping Products Duty, including the processes needed to support duty-stamped products for the UK market.
This gives brands a UK-based manufacturing route as the new duty regime comes into effect.
UK MANUFACTURING
Our UK manufacturing facility is being prepared for the operational requirements of Vaping Products Duty, including the processes needed to support duty-stamped products for the UK market.
This gives brands a UK-based manufacturing route as the new duty regime comes into effect.
PROVEN EXPERIENCE
Vaping duty isn't new to our manufacturing operation. Own Label Creations has already supported customers through the introduction of vaping duties in European markets, giving our team practical experience of adapting production and packaging to changing requirements.
That experience is helping inform our preparations for VPD in the UK.
REGULATORY PREPARATION
We've been actively preparing for VPD and the Duty Stamp Scheme as the requirements have developed, including engagement with HMRC throughout the process.
That preparation helps us understand what the new regime means at a manufacturing level and support customers as they plan their transition.
From 1 October 2026, Vaping Products Duty will apply to vaping liquid manufactured in or imported into the UK.
Excluded: nicotine pouches are not subject to VPD.
£2.20 per 10ml
VPD will be charged at a flat rate of £2.20 per 10ml of vaping liquid — equivalent to 22p per ml — regardless of nicotine content. GOV.UK
Duty stamps required
Liable vaping products released for consumption in the UK from 1 October will need a vaping duty stamp applied to the final retail packaging in accordance with the scheme requirements.
Duty is calculated on the volume of vaping liquid contained within the pod. For example, a 2ml pod carries 44p of VPD at the current rate.
Higher-capacity products are taxed according to their total liquid volume, making product format, capacity and commercial planning increasingly important.
A standard 10ml bottle carries £2.20 of VPD, whether the e-liquid contains nicotine or is nicotine-free.
VPD applies to vaping liquid regardless of nicotine content, meaning nicotine-free e-liquids intended for vaping also fall within the duty regime.
Duty stamps provide a visible indication that Vaping Products Duty has been accounted for. Depending on the product and packaging format, the stamp forms part of the finished retail presentation and carries information used within the Duty Stamp Scheme.
Own Label Creations is preparing its UK manufacturing operation to incorporate these requirements into production, bringing manufacturing, packaging and duty stamping together within a connected process.
Example shown for illustrative purposes. Final stamp appearance and application may vary according to HMRC requirements and product format.
International supply is about to get significantly harder under VPD:
Operational and regulatory complexity
• Imported supply chains become increasingly complex under VPD
• A UK-based Responsible Person is required to purchase duty stamps and submit HMRC returns
• A secondary Responsible Person in the country of manufacture is needed to import stamps, affix them, and re-export into the UK
• Customs complications will impact lead times
Cost and pricing pressure
• From 1 April 2026, China will apply a 13% export tax to all products containing vape liquid
• Chinese-manufactured products in the UK are expected to rise 13% to maintain margins
• A typical Chinese 10ml e-liquid could rise from £3.99 to £7.99 ahead of April 2027
Transitioning supply to a UK-based manufacturer offers greater operational flexibility, faster response to demand, and better control over duty-related costs.
VPD introduces new compliance responsibilities across the manufacture, import and supply of vaping products in the UK. Getting those requirements wrong can result in significant financial and operational consequences.
Non-compliance can include:
Compliance needs to be built into the process, not added at the end. Working with a manufacturing partner prepared for VPD helps bring production, packaging and duty-stamping requirements together from the outset.
Whether you’re an existing OLC partner planning your transition or a brand evaluating UK manufacturing for the first time, the conversation is worth having now, not in September 2026.
