UK vs. Canada: Why Tax Breaks Matter to the videogame Industry

September 7, 2010 -

In an article called "UK vs. Canada: Do Tax Breaks Build An Industry?" at Gamasutra Rebellion CEO Jason Kingsley says that the UK government’s decision not to give tax breaks to the videogame industry is one of the reasons why so many UK studios are slowly setting up shop in Canada.

Though Kingsley said that tax breaks would have been nice to have, his company is coping with the reality that - for now - they are not available.

Richard Wilson, CEO of UK video game trade organization TIGA, is a bit more concerned as he watches companies make a slow exodus to regions in Canada such as Quebec and Ontario, who offer generous tax breaks on labor costs that UK developers can't ignore.

"We are competing with the rest of the world on an uneven playing field," says Wilson. "In 2006, the UK games industry was the third largest in the world in terms of revenue generation; we have since fallen to fifth place."

But TIGA doesn't plan on giving up the fight anytime soon:

"All we can do is continue to make our arguments... and to point out to our government that all of these wonderful investments, all this wonderful creativity that's taking place in other countries, that we're not getting as much of a share as we could be. That's the real tragedy. But I want to emphasize that I do believe we will get games tax relief eventually. It will take a battle but that's a battle we intend to win."

Of course, the longer the UK government waits the more likely we’ll see more UK game companies cross the pond. As one commenter pointed out in the article, gaming is global and it doesn’t really matter where you live – if you can afford to get there. Read the rest of the article at Gamasutra.

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Andrew EisenAgainst my better judgement (game looks boring to me), I purchased Steamworld Dig. It's highly praised and it was on sale. Hopefully I'll be wrong about it and think it's as awesome as everyone else.10/30/2014 - 2:09pm
quiknkoldhttp://www.pastemagazine.com/articles/2014/10/femme-doms-of-videogames-bayonetta-doesnt-care-if.html10/30/2014 - 1:15pm
quiknkoldIf he calls himself the Effing Robot King, I can die happy10/30/2014 - 1:14pm
Michael ChandraAlso, yay for him being Ultron. :D10/30/2014 - 1:08pm
Michael Chandra"We become who we are. You can’t judge a book by its cover, but you can by its first few chapters. And most certainly by its last."10/30/2014 - 1:07pm
prh99""We are what we repeatedly do..."10/30/2014 - 12:30pm
Andrew EisenI would, however, call someone who routinely kills time by playing random games on their phone a gamer.10/30/2014 - 12:15pm
E. Zachary KnightMatthew, AE, Yeah, that is why I have a hard time understanding critics of Sarkeesian. I look at her videos as a Feminist review of video games, but for some reason, others look at them as personal attacks.10/30/2014 - 12:01pm
E. Zachary KnightDefinitely a good answer. That is the way I lean. If you actively chose to stop gaming, or just stopped out of habit, then yeah, you are no longer a gamer.10/30/2014 - 11:45am
Matthew WilsonAE i agree, but it is worth pointing out the fact that that is whats happening.10/30/2014 - 11:45am
quiknkoldbehavior to warrant having a Title that doesnt involve a piece of paper.10/30/2014 - 11:43am
quiknkoldwaiting in line. Thats not being a Gamer. Thats akin to me reading a Pamphlet in line and calling myself an active reader. or watching a movie trailer on a tv in walmart and calling myself an active movie goer. There has to be some form of repetitive10/30/2014 - 11:42am
quiknkoldbeing A Gamer is a Conscious decision. I am consciously engaging in this form of media and showing some form of enthusiasm. The only person I Wouldnt call a gamer is somebody who has a random game on their phone just to kill 5 minutes cause they are10/30/2014 - 11:41am
E. Zachary KnightSo how much time must pass since the last time you played a game before you are no longer a gamer?10/30/2014 - 11:33am
Andrew Eisen"Plays" is present tense so the clarification doesn't seem necessary to me.10/30/2014 - 11:18am
quiknkoldI would change that from "One who plays games" To "One who currently plays games". Like my friend as a kid playd games but then he stopped and hasnt for the last decade+ so I wouldnt call him a Gamer.10/30/2014 - 11:16am
Andrew EisenHmm, that sounds like a great idea for a series of articles! I bet they'd be well-received and not taken the complete wrong way at all!10/30/2014 - 11:12am
Andrew EisenThat's right, gamer simply means one who plays games. That's it. The idea that "gamer" refers to something very limited and specific, well, that's no longer applicable in this day and age of mainstream gaming.10/30/2014 - 11:12am
Andrew EisenMatthew - As I said last night, that is not a bad thing. Different types of reviews to serve different interests is a GOOD thing and should be encouraged! There is not, nor should there be, only one way to review a game or anything else.10/30/2014 - 11:01am
ZippyDSMleeAnyone see this? http://www.dailykos.com/story/2014/10/29/1339617/-Cartoon-Gamergate-Contagion-Spreads?detail=facebook10/30/2014 - 10:55am
 

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