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Molyneux demands government support for UK tax breaks in industry

Wednesday, 17th February 2010 06:28 GMT By Johnny Cullen

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Peter Molyneux is the latest person to throw his weight behind getting tax breaks for the UK games industry from the government.

Speaking to The Telegraph at X10 last week, Molyneux said the industry is not seen as a “creative industry”.

“I’ve been saying this for years; it is just crazy that the British government does not recognise the games industry as a creative industry in the way it recognises others,” he said.

“There are very simple things that Canada does that they’ve proven are financially sensible, that Britain could do to encourage people to use them as a creative centre. Because the British are very creative people and it’s frustrating that we don’t get that,” he further added.

The Chancellor Alistair Darling said in his pre-budget report last December tax breaks wouldn’t be coming for the industry, with a five percent YoY drop if it doesn’t happen soon, according to TIGA last year.

Via Joystiq.

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5 Comments

  1. Tamo123

    I am from the UK and I say f**k the UK government, they are clueless.

    #1 5 years ago
  2. soylent_grey

    All three parties agree that tax breaks aren’t viable in the current economic climate, and it’s rather delusional for Molyneux to think that the industry has a god-given right to them anyways.

    And the UK Film Council is getting torn apart as their funding continues to get scaled back, so the ‘what about film’ argument is starting to wear thin aswell.

    Point to Canada all you like, but if you can’t market the UK as a European centre for games vs Newfoundland and a 50% tax break, then you really are missing a trick.

    #2 5 years ago
  3. Eregol

    At least the film industry gets funding.
    It’s hard to set up businesses in the Uk due to the immense cost and the sky high taxes.
    Current business are being priced out of the UK and being forced to go abroad where everything is cheaper and they pay much less tax.
    If games companies don’t get the tax breaks, they will jump ship and the government will lose a hell of a lot more cash.

    That and companies will close their UK arm due to the cost of keeping them open.

    I half expect Eidos to be wound up by Squeenix at some point due to their UK status.

    #3 5 years ago
  4. Bulk Slash

    I don’t think Labour care too much about work going overseas, by the time the worst of it happens the Conservatives will be running things and they’ll get the blame.

    I completely agree though, the ridiculous tax levels in this country are killing small business and driving larger businesses out of the country. Maybe the EU can bail us out after Greece? ;)

    #4 5 years ago
  5. mightyhokie

    Tax cuts = companies setting up camp = jobs = more disposable income for citizens = more tax revenue for gov via more people on payrolls = a growing and happy economy. Some call it Reganomics, some call it trickle-down economics, it gave America a 20+ year run on the best economy in the world. Our current leadership here in the US don’t believe in that philosophy, but it has been proven to work every single time. Any 101 business-person knows this.
    Why are our (US and UK) governments so greedy and stupid?

    #5 5 years ago

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