Domesday Live

Tobacco duty: how the rate has changed

Drink, tobacco, gambling and vaping. Cigarette duty has two parts: a fixed amount for every 20 cigarettes and a share of the shop price. A minimum amount per pack applies too. In recent years duty has gone up every year by inflation plus 2 points.

Worth knowing

• From November 1993 to November 1999 the government committed to raising tobacco duty above inflation every year.
• The 1 October 2026 step includes a one-off rise, first announced by Jeremy Hunt at the Spring Budget 2024 and set by Rachel Reeves at the Autumn Budget 2024, to sit alongside the new vaping duty.
• The cigarette figure is the fixed part only. Add the share of the price, and VAT on top of the lot.