Imperial Tobacco, BAT: American banks sees Vape tax as potentially positive for tobacco giants

Citi analysts have identified the UK government's recent budget announcement of a new excise tax on vaping products as an encouraging development for British American Tobacco PLC (LSE:BATS) and Imperial Brands PLC (LSE:IMB). The Chancellor, Jeremy Hunt, confirmed in his Spring Budget speech that from October 2026, vaping products would be subject to a new tax. This move is designed to maintain a financial incentive for choosing vaping over smoking, complemented by a concurrent increase in tobacco duty. The ...