What am I actually paying?
What you really pay is the gross wage you earn to buy something. What it could cost is the price with every tax removed: no duty, no VAT, and no income tax on the money you spend.
Rates used (UK, October 2026): VAT 20%. Fuel duty 52.95p per litre (5p cut extended to end of 2026). Alcohol duty from 1 Feb 2026, per litre of pure alcohol: beer 3.5–8.4% £22.58; wine/spirits 3.5–8.4% £26.61; any drink 8.5–22% £30.62; over 22% £33.99; draught 3.5–8.4% £19.45; under 3.5% £9.96 (draught £8.58). Cigarettes from 1 Oct 2026: £394.09 per 1,000 plus 16.5% of retail price, minimum £518.75 per 1,000. Vaping duty from 1 Oct 2026: £2.20 per 10ml. Soft drinks levy from 1 Apr 2026: 27.8p per litre (8g+ sugar), 20.8p (5–8g).
What this doesn't show: the underlying price still contains taxes the seller's businesses pay (employer NI, business rates, corporation tax, import tariffs), so the true government share is higher than shown. Small-producer alcohol relief is ignored. VAT is charged on top of duty, which is why it's taken off the full ticket price first.