The government is reportedly considering introducing a new tax on vapes at the Budget next week as ministers fear that the relatively cheap cost of vaping means products are more accessible for young people and non-smokers.
The new duty will be levied on the liquid in vapes, with higher tax rates for products with more nicotine, according to the Times.
In addition, tobacco duty could increase at the Budget, to ensure that vaping remains cheaper.
In response, the UK Vaping Industry Association, told the BBC that a new tax would “penalise” smokers who have made the switch from tobacco.
John Dunne, its director general, argued that it could also “fuel a black market which is already in danger of being out of control”.
The report also suggests that the government to increase fines for retailers that sell vapes to under-18s, which is illegal.