Budget 2026: From cigarette prices to FaSTag norms, what gets cheaper, costlier, simpler from now

A fresh set of regulatory changes comes into force from Sunday, February 1, with implications for commuters, consumers and investors alike. The updates span road travel, tobacco pricing, LPG costs and stock market operations, potentially affecting both household expenses and daily routines.

Here’s a breakdown of the major changes effective now.

Cigarette prices rise from today

Cigarettes will cost more starting February 1, following an increase in duty on tobacco products. The price hike is expected to be steeper for filtered and longer cigarettes.

Earlier this month, the government notified revised duty rates for cigarettes, jarda and gutkha (paan masala containing tobacco), along with changes to the cess applicable on paan masala without tobacco. The revised structure has now come into effect.

Commercial LPG cylinders costlier

The price of 19 kg commercial LPG cylinders has been increased by ₹50 from today. However, there has been no change in the prices of domestic LPG cylinders, offering some relief to households.

Markets open on Budget Day

Despite being presented on a Sunday, the Union Budget will not disrupt market operations. As Finance Minister Nirmala Sitharaman presents her ninth consecutive Union Budget today, both the National Stock Exchange (NSE) and the Bombay  Stock Exchange (BSE) will function as usual. Trading will begin at regular opening hours, allowing investors to react to Budget announcements in real time.

FASTag norms eased for private vehicles

The process for issuing FASTags to private vehicles is set to become smoother from February 1. The National Highways Authority of India (NHAI) has decided to scrap the Know Your Vehicle (KYV) requirement for new FASTags issued under the Car/Jeep/Van category.

The move is aimed at reducing delays and inconvenience faced by motorists, many of whom reported issues even after submitting valid vehicle documents due to post-issuance verification rules.

The Ministry of Road Transport and Highways clarified that existing FASTags for cars will also not require KYV as a routine measure. Verification will now be carried out only in specific cases, such as complaints related to incorrect issuance, loose FASTags or suspected misuse. In the absence of any complaint, no additional KYV process will be required.