The UK government is considering announcing a new tax on vaping products in the upcoming Budget next week. Currently, vaping products are subject to VAT but do not have a separate levy like tobacco products.
Ministers have expressed concerns about the accessibility of vaping products to young people and non-smokers, leading to discussions about implementing a new tax. Treasury analysis suggests that a new vaping tax, along with a potential rise in tobacco duty, could raise £500 million annually.
In addition to the new tax, the government plans to ban disposable vapes and increase fines for selling vapes to individuals under the age of 18. Chancellor Jeremy Hunt has hinted at potential tax cuts in what is expected to be the last Budget before the general election.
However, the Institute of Fiscal Studies has warned that the UK is in a “poor position” for tax cuts. Readers are encouraged to share their opinions on the new vaping tax by emailing [email protected]. Those interested in sharing their thoughts may also include their contact number for a potential interview with a BBC journalist.
As the government contemplates these potential changes, the impact on both the vaping industry and consumers remains to be seen. Stay tuned to Bio Prep Watch for updates on this developing story.
