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Darling announces UK games trade tax breaks

Wednesday, 24th March 2010 13:30 GMT By Patrick Garratt

darling

The clock just stopped. UK Chancellor Alastair Darling just confirmed that the UK games development industry is to get tax breaks.

Delivering his 2010 budget, Darling said, “We need to keep British talent in this country” and that the breaks would be “‘similar” to those afforded to the UK film industry.

The UK trade has immediately responded with outright delight.

In July last year, the government “committed to work with the industry to collect and review the evidence for a tax relief to promote the sustainable production for online or physical sale of culturally British video games” as part of its Digital Britain report.

TIGA has estimated that cultural tax break along the same lines as those given to the film industry will raise over £400 million for the treasury in five years.

Breaks will undoubtedly makes Britain more attractive to firms looking to set up large development studios. Quebec has constantly drawn the likes of EA and Ubisoft to set up shop with its biggest teams in recent years thanks to cash breaks, a situation TIGA tried to highlight with the WTO in 2008.

Canada’s financial stance on development saw its industry grow by 18 percent in the 18 months leading to the end of 2008 in terms of numbers employed, while the UK headcount fell by the same percentage.

We’re still waiting on specifics as to what’s actually being offered.

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9 Comments

  1. Zarckan

    I’m sat here in tears :’(

    #1 5 years ago
  2. Blerk

    Wow, they’re really trying to reach every possible remaining floating voter in order to avoid being booted out on their arses. :-D

    #2 5 years ago
  3. Jadeskye

    @ Blerk. Scary thing is it might work.

    #3 5 years ago
  4. ReeceHeywood

    Yea because The Conservatives will save us.

    #4 5 years ago
  5. Len

    Well lets hope so as someone is gonna have to give it a go…

    #5 5 years ago
  6. Armitage

    Good news. Shame this decision wasn’t made earlier, really.

    Also – Patrick, you are a LIAR. The clock did not stop. I checked.

    #6 5 years ago
  7. Gheritt White

    I never, ever expected this to happen before the UK’s games development sector was past the point of saving. This may well have come at the last minute, but hopefully in the nick of time too.

    #7 5 years ago
  8. Eregol

    They should have announced this years ago.
    Might have stopped a few decent studios going bust.

    Once again as always with Labour, too little, too late.

    #8 5 years ago
  9. V_Ben

    Marvelous news!

    #9 5 years ago

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