TIGA CEO Calls on UK Government to Do More for Games Industry

October 6, 2011 -

In a guest editorial on the UK version of the Huffington Post, TIGA CEO Richard Wilson ask the British government to give the game industry a break ... a tax break.

TIGA, the trade association representing the UK video games industry, published a report this week entitled "State of the UK Games Development Sector 2011," which highlights why the government should support the industry: it creates jobs and generates taxable revenue. Wilson highlights three challenges the industry faces in his editorial:

"Firstly, our competitors, including Canada, France, Singapore and the USA all provide national or regional tax relief for games production, which typically effectively reduce the cost of employment and games production. No tax relief for games development exists in the UK. Between 2008 and 2010 employment in the British games industry fell by 9 per cent and annual investment declined from £458 million to £417 million. Conversely, the Canadian games industry has grown by 33 per cent over the same period. The British video games industry is competing with a ball and chain tied to its ankles. A tax break would enable our industry to compete on a level playing field. Yet the Coalition Government dropped TIGA's tax break in the June 2010 Budget.

Secondly, two-fifths of our development studios are held back by a lack of finance. Access to debt, bond and equity finance is difficult because of uncertainty about consumer demand for video games and because of the intangible nature of IP. Bank finance is therefore very unlikely to become a principal source of finance for game developers. Treasury wheezes like Credit Easing may help larger businesses in the medium term but they provide no immediate assistance for creative industries such as games development.

Thirdly, our industry faces recruitment difficulties. Two-fifths of developers have suffered from skill shortages over the last 12 months. This is partly because the domestic supply of high quality graduates in disciplines such as computer science is limited. The proportion of computer science graduates has fallen by a quarter in recent years. These skill shortages are amplified by a brain drain of talented staff to overseas jurisdictions, particularly Canada."

So how can the government help to foster growth? Tax breaks, of course. Wilson is calling on the government to introduce tax relief for games production; the creation of a Creative Content Fund (CCF) that offers matched funding for approved game production projects. and a pilot program where tuition fees for students studying mathematics and computer science degrees are competitively priced in comparison to other degrees to incentivize the study of these subjects.

Wilson ends his editorial by saying that UK game developers are high technology, highly skilled, low carbon businesses that have the potential to succeed in global markets and to contribute to the necessary rebalancing of the UK economy.

"The Prime Minister, David Cameron, called for a spirit of "can-do optimism" in his speech to the Conservative Party Conference in Manchester. We have a can-do games industry. What we now need is a 'can-do' Government."

Source: Huffington Post UK

 


 
Forgot your password?
Username :
Password :

Poll

Will the FCC preempt state laws that limit municipal broadband services?:

Shout box

You're not permitted to post shouts.
PHX CorpI'm going to do a test stream later today, if anyone is intrested07/31/2014 - 2:40pm
Andrew EisenYes, I'm such a big Nintendo dork that I read Nintendo's quarterly financial reports.07/31/2014 - 2:09pm
Andrew EisenCool tidbit - Mario Kart 8 sales account for more than half of total Wii U software sales for the last quarter even though it was only available for the last third.07/31/2014 - 2:09pm
Andrew EisenStill a pretty cool promotion. Unfortunately for me, I'm not interested in purchasing Mario Kart 8 and I already owned or didn't want any of the free games on offer.07/31/2014 - 1:43pm
Andrew EisenInteresting that EU had 10 games to choose from while North America only had four.07/31/2014 - 1:41pm
MaskedPixelanteIt certainly worked, I probably would never have bought Mario Kart 8 if it didn't come with a free copy of Wind Waker HD.07/31/2014 - 1:14pm
Andrew EisenI imagine will see similar promotions like "Buy Mario Kart 8 get a download code for one of these specific games" but almost certainly not for all of its (however you would define) biggest releases.07/31/2014 - 11:24am
MaskedPixelanteI wonder if Nintendo is going to be doing "buy one get one free" promos for all their biggest releases going forward.07/31/2014 - 10:48am
MaskedPixelantehttp://www.mcvuk.com/news/read/special-report-retail-revolt-over-pc-code-strippers/013614007/31/2014 - 8:27am
ZippyDSMleeWouldn't they be able to afford and get done in a timely manner a general gba emluator for the 3DS? It seems to me if they want to make money off sales they need to do it.07/31/2014 - 7:25am
Sora-ChanAmbassador program, that's what I was looking for. Anyway the other games that have been made no longer exclusive to the early adopters got updates in their software. It'll only be a matter of time more than likely for the GBA to get the same treatment.07/31/2014 - 5:35am
Sora-ChanI might be naming it incorrectly when I say "founder" i mean the program for earlier adopters.07/31/2014 - 5:34am
Sora-Chanthe 3DS's GBA emulator was a rush job due to the founder program. No other GBA titles have been released on the 3DS yet. If/When they do get around to it, they'll more than likely update the emulation software.07/31/2014 - 5:32am
Zenemulator...it's not just a slap job that makes "some" work..they do it for each which is why they work so well. I would rather have the quality over just a slap job.07/30/2014 - 5:48pm
ZenMatthew there is a difference between "worked" and "accurate". You play the Nintendo VC titles they play as damn close to the original as possible. The PSP would just run them as best they could, issues and all. And Masked...EACH VC title has their own07/30/2014 - 5:48pm
MaskedPixelanteOnce again, the 3DS already HAS a GBA emulator, it just can't run at the same time as the 3DS OS.07/30/2014 - 4:54pm
Matthew Wilsonyou cant street pass in ds mode ether, and if moders can make a gba emulator that runs very well on the psp as I understand it. you are telling me that Nintendo devs are not as good as moders?07/30/2014 - 4:49pm
Zenperformance. Halo 1 and 2 worked great because they actually did custom work on each of them...just like Nintendo does now lol07/30/2014 - 4:08pm
Zenexisting hardware while the GBA has to be emulated completely. Same reason the 360 couldn't run most Original Xbox games correctly, or had issues because they just did "blanket approach" for their emulation which led to game killing bugs or horrible07/30/2014 - 4:07pm
ZenSora/Matthew: It's not just Miiverse, but the whole idea of streetpass and things like that would be affected if the OS is not running. And just because a 3DS game can be downloaded and run does not mean that GBA can as easily. Those 3DS games use the07/30/2014 - 4:06pm
 

Be Heard - Contact Your Politician