Skip to site menu Skip to page content

How the Tobacco and Vapes Bill could affect UK retailers

The government’s Tobacco and Vapes Bill is under scrutiny in the House of Lords, where peers are weighing a generational tobacco sales ban and tougher UK vaping laws.

Mohamed Dabo November 24 2025

The UK government’s Tobacco and Vapes Bill is moving through the House of Lords, with peers examining each clause in committee stage before the legislation returns to the full chamber.

The Bill aims to create a “smoke-free generation” by making it illegal to sell tobacco to anyone born on or after 1 January 2009 and by tightening UK vaping laws, marketing rules and licensing for sellers.

For retailers – from high street convenience stores to hotel lobby shops, bars and duty-paid outlets – the emerging framework could reshape how tobacco and vape products are stocked, displayed and sold to guests and local customers.

Smoke-free generation rules and changing guest demand

At the centre of the Tobacco and Vapes Bill is a generational tobacco sales ban. The legal age for buying cigarettes and other tobacco products would rise by one year every year from 2027, so that today’s teenagers are never legally able to buy tobacco in the UK.

The measure targets suppliers rather than smokers. Selling tobacco to anyone born on or after 1 January 2009 would become an offence, but possession and smoking would not.

For retailers, this creates a long transition period in which age checks will become more complex, with different age thresholds applying to tobacco, alcohol and other age-restricted products.

For hotels, resorts and serviced apartments with on-site shops or bars, this could mean:

  • revising point-of-sale systems to handle different age rules
  • updating staff training on ID checks for tobacco and vapes
  • adapting stock planning as the share of guests legally able to buy cigarettes falls over time.

Industry bodies and some peers have pressed for formal assessments of how the smoke-free generation policy might affect shopkeepers and the wider retail economy.

Amendments debated in the Lords committee include a requirement for an assessment of the impact of the ban on retailers, and for a review at age 21 of whether the law is cutting tobacco and nicotine use in the new generation.

For international hotel operators, the UK approach stands out because it targets birth year rather than setting a single higher age limit.

 Guests and staff from markets with more traditional age-of-sale rules may find the system unfamiliar, so hotels may need clear signage and multilingual guidance.

New UK vaping laws, disposable vape ban and marketing limits

Alongside the smoke-free generation plan, the Tobacco and Vapes Bill tightens UK vaping regulations.

It gives ministers powers to control vape flavours, packaging, product standards and in-store displays, with the stated aim of reducing youth vaping while keeping vaping available as a quitting aid for adult smokers.

Key elements for retailers include:

  • a ban on selling any vaping or nicotine product – including non-nicotine vapes – to under-18s
  • powers to ban or restrict vaping advertising and sponsorship
  • scope to limit flavours, packaging and retail displays that are judged to appeal to children.

These changes sit on top of the UK-wide ban on disposable vapes, which took effect in June 2025.

 From that date, it became illegal to sell, supply or possess for sale any single-use vape, including non-nicotine versions; only rechargeable, refillable devices with replaceable coils can be sold.

For hotel and leisure businesses, practical implications include:

  • removing any remaining disposable vapes from stock and ensuring supply chains focus on compliant refillable devices
  • checking vending machines, minibar offers and front-desk sales to ensure they do not include banned products
  • reviewing in-room and on-site signage and guest information on where vaping is allowed and what products remain legal.

The Bill also allows ministers to extend rules on “smoke-free”, “vape-free” and heated tobacco-free places.

Current plans focus on spaces used by children, such as playgrounds, school entrances and some outdoor areas near hospitals.

Outdoor areas of hospitality venues – including pub gardens and hotel terraces – are not in scope under government statements to date, though this is subject to ongoing consultation and political debate.

Even without a formal outdoor smoking ban for hospitality, hotels may face stronger local expectations from residents and city authorities to manage smoking and vaping on pavements, near entrances and in shared outdoor spaces.

Licensing, enforcement and retail crime: preparing hotel shops and bars

One of the most significant shifts for retailers is the move toward a dedicated licensing regime for tobacco and vapes, similar to alcohol licensing.

The Bill gives ministers powers to introduce new retail licensing requirements and to amend smoke-free place regulations through secondary legislation.

A government call for evidence on tobacco and vapes licensing suggests the direction of travel.

The current proposal is that anyone selling tobacco products, herbal smoking products, cigarette papers, vapes or nicotine products would need both a personal licence and a premises licence, with licensing authorities responsible for granting and enforcing those licences.

For hotel and resort operators with multiple outlets – such as bars, lobby shops, spa retail corners and kiosks – this could lead to:

  • separate licences for each outlet that sells tobacco or vaping products
  • mandatory licence conditions covering age verification, staff training and display rules
  • closer engagement with local licensing bodies and trading standards.

Lords committee debates have focused heavily on enforcement. Peers have discussed:

  • the use of age-verification technology at tills and for online orders
  • stepped fixed-penalty systems and warning notices for first-time offenders
  • a strategy to reduce retail crime linked to tobacco and vapes
  • minimum pricing for vaping products to reduce price-driven youth uptake
  • a requirement that anyone distributing tobacco without a licence commits an offence.

For hotel operators, especially those in busy city centres or transport hubs, stronger enforcement could mean more inspections, tougher penalties for under-age sales and closer scrutiny of online pre-orders or “click and collect” services.

On the other hand, a clearer licensing regime and a national retail crime strategy might help tackle illicit sales around hotel districts and reduce theft of high-value tobacco and vape stock.

The Bill’s progress through the Lords committee stage underlines its wide scope. More than 60 delegated powers would allow ministers to extend standardised packaging, adjust licensing rules and change smoke-free place regulations over time.

For international hotel brands and UK-based operators, this points to a long period in which secondary legislation will fine-tune the details.

Monitoring the Tobacco and Vapes Bill as it moves to later stages – and planning for changes in age-of-sale rules, vape regulation, licensing and enforcement – is likely to be part of risk and compliance work for hotel groups, franchisees and the wider retail supply chain that serves them.

Uncover your next opportunity with expert reports

Steer your business strategy with key data and insights from our latest market research reports and company profiles. Not ready to buy? Start small by downloading a sample report first.

Newsletters by sectors

close

Sign up to the newsletter: In Brief

Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

Thank you for subscribing

View all newsletters from across the GlobalData Media network.

close