Criminals flogging illegal vapes on Britain’s high street will face fresh fines and jail time in a major crackdown to be announce by Rachel Reeves in the Budget
Criminals flogging illegal vapes on Britain’s high street will face fresh fines and jail time in a major crackdown in the Budget.
Chancellor Rachel Reeves will next week announce new powers for Border Force and HMRC to seize illegal vapes on the spot.
Rogue traders that flout the rules will face £10,000 fines and new criminal offences that could lead to a prison sentence.
All vapes sold in the UK will have to carry a digital duty stamp, including a QR code to make it easy for consumers and enforcement officers to quickly scan and spot a fake.
It is hoped the plans will disrupt criminal networks behind black market vapes and stop compliant British businesses from being undercut, protecting the public from dangerous, unregulated products and reviving Britain’s high streets after an explosion of dodgy shops.
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It will also leave fraudsters with fewer places to hide, with mandatory licensing on vapes and tougher action on tax evasion and rogue directors.
A No10 source said: “Britain’s high streets are being flooded with illegal vapes by rogue traders. The Chancellor will crack down hard – giving Border Force and HMRC the power to seize dodgy vapes on the spot and hit offenders with £10,000 fines. We’re protecting shoppers and backing honest businesses.”
Plans for a Vaping Duty Stamps Scheme (VDS) were originally introduced in last year’s (2024) Budget. The stamp will be a physical product incorporating digital features for traceability and authentication and will also capture data, including information about the manufacturer or business who affixes the stamp, according to HMRC.
HMRC will provide full support and transitional stamps to help the sector prepare before the new system becomes compulsory in October next year.
Businesses manufacturing vaping liquid in the UK will be able to register for the scheme from April. Shops will have a six month grace period to sell any unstamped stock.
In separate plans reported yesterday, Ms Reeves will use her Budget to crackdown on shady car washes, nail bars and takeaways.
The Chancellor will announce £1million in funding in her November 26 statement to boost a new crack team of investigators to root out firms that flout employment and tax laws.
The new investigators will coordinate with Immigration Enforcement and HMRC to ensure swift investigations and robust action against offenders.
It comes after Keir Starmer announced his Pride in Place strategy in September which pledged £5billion to rebuild deprived communities, including reviving empty shops and derelict pubs.
Under the plans, local people will be given powers to block new vaping and gambling shops in their communities to help clean up Britain’s high streets.