TIGA secures decisive victory for UK video
games industry
TIGA,
the trade association representing the UK Games Industry, said today that the
Government’s announcement that it intends to introduce a tax relief for the UK
video games industry was a “brilliant” decision and “terrific” news for the
games development sector.
TIGA,
the only trade association to have consistently campaigned for tax relief for
games development, described the provision to implement the tax break for games
production as a “decisive victory” by TIGA for the UK video games industry
which would increase employment, innovation and investment in the sector and would
help to power the economic recovery.
TIGA
secured Games Tax Relief in the previous Labour Government’s final Budget in
March 2010, but it was dropped in the June 2010 Budget. Since then TIGA has
campaigned relentlessly for Games Tax Relief and the award winning trade
association’s crusade has now succeeded.
Dr Richard Wilson TIGA CEO stated:
“This is a brilliant
decision by the Government and terrific news for the UK video games industry. It
is also a decisive victory won by TIGA through audacity, determination and
endurance. Like a boxer knocked down by his opponent, we refused to accept
defeat and kept getting back in the ring. This victory will benefit not just
the UK games development and digital publishing sector but also the wider UK
economy.
“Tax relief for the
video games sector will increase employment, innovation and investment in the
UK video games industry. Our research shows that Games Tax Relief
should generate and safeguard: 4,661 direct and indirect jobs; £188 million in
investment expenditure by studios; increase the games development sector’s
contribution to UK GDP by £283 million; generate £172 million in new and
protected tax receipts to HM Treasury, and could cost just £96 million over
five years. Tax breaks for games
production will ensure that the UK remains at the forefront of video
game development. It will also help to rebalance the UK economy away from an
over-reliance on financial services towards a high skill, R&D intensive and
export focused industry.
“For Games Tax Relief
to be announced in the Budget is the culmination of a four year campaign waged
by TIGA. Government Ministers are to be warmly congratulated for this brilliant
decision. The All Party Computer and
Video Games Industry Group in the Westminster Parliament, the Labour Party and the Scottish
National Party also deserve full recognition for supporting this critical
measure. TIGA now looks forward to working with the Coalition Government, the
Labour Party and the SNP and other interested parties on the implementation of
Games Tax Relief.”
Jason
Kingsley, TIGA Chairman and CEO and Creative Director of Rebellion (Oxford),
said:
“Congratulations
must go to the Chancellor, the Government and its officials in making this long
hoped-for decision. It will save jobs and companies, promote growth,
build financial confidence and bring in much needed export income from around
the world. It is exciting that they have made such a positive move and we
look forward to working with them on the details of implementation. This is
also a huge success for TIGA, for its members both old and new, and for the
wider video games industry that TIGA represents.”
Mark
Gerhard, CEO of Jagex (Cambridge):
“I am absolutely delighted that
the Government has decided to introduce TIGA’s proposals in today’s Budget.
TIGA has been the only trade association to have consistently advanced the case
for tax breaks for games production. TIGA continues to make a crucial
difference to the UK games industry. Thanks to TIGA, the UK games industry is
set for desperately needed further growth, investment and innovation.”
Colin
Anderson, Managing Director at Denki (Dundee):
“Games Tax
Relief will stimulate much needed investment and innovation in one of
the UK's leading knowledge based industries. The leadership TIGA has
demonstrated throughout this debate has played a decisive
role in getting Games Tax Relief on the political agenda and proposed into
today's Budget. TIGA has shown once again that it delivers results for its
members and for the wider games industry.”
Imre Jele, Co-Founder, Creator in Chief
of Bossa Studios (London):
“The decision to
introduce a tax credit for games production is a huge success for TIGA, for
London games developers and indeed developers throughout the UK. This tax
credit will reduce the cost of games development, allowing us to hire more
staff, invest more in our industry and create more games. It is good for the
games industry and good for the UK economy.”
Gareth
Edmondson, TIGA Vice-Chairman and Managing Director, Thumbstar Games
(Newcastle):
“I am delighted the Coalition Government has finally backed TIGA’s call
for Games Tax Relief. This is a real triumph for UK developers. It will enable
the UK games industry to remain a success story.”
Philip
Oliver, CEO Blitz Games Studios (Warwickshire):
“TIGA has worked tirelessly to raise the profile of our industry in
political circles and today’s decision is proof that this campaign has paid
off. It is fantastic that the Government is
supporting TIGA’s Games Tax Relief and we are sure that this measure will grow
the industry, create more jobs and lead to higher tax revenues for Government
in the future. It is a great result for the games industry and for the UK
economy.”
Karl Hilton, MD, Crytek
(Nottingham):
“This is the right decision for the future of the UK games industry
and consumers across the world who enjoy playing British made games. TIGA’s
victory will enable the UK games sector to compete on
a more even playing field. It will also promote the creation of high skilled
jobs, enhance investment and stimulate an export focussed industry.”
Patrick
O'Luanaigh, CEO, nDreams (Farnborough):
“The Government has made
a wise investment by committing to TIGA’s Games Tax Relief today and the whole
of the UK industry will applaud them for this decision. TIGA has fought a great
campaign on behalf of UK developers and digital publishers. With this result,
the UK video games industry should attract more investment and will create more
high skilled jobs.”
Andrew
Eades, CEO of Relentless (Brighton):
“UK developers have been competing
on an uneven global playfield. Today’s decision by the Government to back TIGA
tax break campaign will help ensure that we can remain competitive in the
global market.”
Lee
Hutchinson, CEO, Double Eleven (Middlesborough):
“The UK video games industry is one of the most creative and innovative
in the world. This decision will mean we can continue to invest in UK talent,
invest more in our studios and create more highly skilled jobs. This is a great
day for games developers. It is also a major achievement by TIGA”
–
ends –
Notes to
editors:
About TIGA:
TIGA is the trade association
representing the UK’s games industry. The majority of our members are either
independent games developers or in-house publisher owned developers. We also
have games publishers, outsourcing companies, technology businesses and universities
amongst our membership. Since 2010, TIGA has won 11 business awards and has been
nominated a finalist for 9 other awards. In 2010
TIGA won two business awards including ‘Trade Association of the Year’ from the
Trade Association Forum.
In 2011, TIGA won eight business awards including
‘Trade Association of the Year’ from the Trade Association Forum, ‘Outstanding
Organisation’ from the Chartered Management Institute and two Global Business
Excellence Awards, including ‘Outstanding Marketing Campaign’. Richard Wilson won the ‘Leadership Award’
from the Trade Association Forum and the ‘Outstanding Leader’ award from the
Chartered Management Institute. In 2011, Richard Wilson won the IoD’s East of England Director of the Year Award. TIGA is an Investors in
People organisation.
TIGA's
vision is to make the UK the best place in the world to do games
business. We focus on three sets of activities: political representation,
generating media coverage and developing services that enhance the competitiveness
of our members. This means that TIGA members are effectively represented
in the corridors of power, their voice is heard in the media and they receive
benefits that make a material difference to their businesses, including a
reduction in costs and improved commercial opportunities.
For further information, please contact
Dr Richard Wilson, TIGA CEO on: 07875 939 643, or email: richard.wilson@tiga.org. Or
call Marc Ambasna-Jones on: +44 (0)7966 510702 ; or
email: marc@marcompr.net