Sections

Report: Global publisher killed UK games tax break

Thursday, 24th June 2010 18:11 GMT By Stephany Nunneley

ukflag

Sources close to Develop claim that one of the world’s largest game publishers is to blame for UK’s games tax break getting canned.

Insiders close to the situation said the company “exerted pressure on the UK government and British trade associations to abandon plans for UK tax breaks,” by persuading Parliament allies to “dissuade any legislative measures”.

The company, Develop was told, was worried that the tax breaks would give the UK sector an “unfair advantage over other nations”.

Responding to the allegation, TIGA has called for “cross-industry unanimity” regarding the claim.

“TIGA has campaigned rigorously for two years for Games Tax Relief,” CEO Richard Wilson told Develop. “We will not give up, and we ask publishers to join us.”

Earlier in the week, UK Chancellor George Osborne announced that tax breaks promised by the former Labour-run government would not move forward, prompting a response from TIGA which stated that the measure would see the UK “forfeit millions of pounds in inward investment”.

More through the links.

Breaking news

13 Comments

Sign in to post a comment.

  1. Gheritt White

    I reckon (if it’s true) it’s gotta be either EA or Ubisoft, as it’d be publishers that have made significant investments in the Canadian development space that would have anything to lose from UK tax breaks.

    #1 4 years ago
  2. onlineatron

    This is verging of illuminati-esque behaviour.

    #2 4 years ago
  3. Anders

    Quite an accusation. Would’ve been much more interesting if they mentioned the publisher by name, though…

    #3 4 years ago
  4. Robo_1

    If it’s revealed to be Activision, Bobby Kotick should just go into hiding.

    #4 4 years ago
  5. Razor

    Yeah, either EA or Ubi. Probably EA; I’d imagine they have some hefty lobbying power.

    #5 4 years ago
  6. Freek

    Seems a bitt far fetched considering a global publisher would have a stake in the britisch games industrie and thus would benifit from the tax brakes.
    EA in particular, Criterion (one of their major studios) is based in the UK, as is Crytek UK with whome they have a publishing deal.

    On top of that, the reason many pulishers have invested in Cananda is becuase of the tax breaks. A country like the UK, with a pretty big development industrie, getting a tax break offers a buiseness opertunity rather then increased compition for publishers in general.

    #6 4 years ago
  7. Anders

    “Seems a bitt far fetched considering a global publisher would have a stake in the britisch games industrie and thus would benifit from the tax brakes.”

    Ubisoft doesn’t.

    http://en.wikipedia.org/wiki/Ubisoft#Current

    #7 4 years ago
  8. Bulk Slash

    Sounds unlikely, Mandelson isn’t business secretary any more.

    #8 4 years ago
  9. Egon Superb

    Remember, the tax breaks were only for culturally British products – the big publishers don’t exactly make something that cries out Britain like Zombie Cow or Introversion do.

    #9 4 years ago
  10. Freek

    Pretty easy to spin your game to be “british” even if it’s blockbuster. See Resistance 1.

    #10 4 years ago
  11. freedoms_stain

    This is the Tories. They bend over and do whatever the corporations want.

    #11 4 years ago
  12. Freek

    Ubisoft is aparently pro tax breaks.

    Not many others left, if the story isn’t complete nonsense.

    #12 4 years ago
  13. Mr-Brett

    “Ubisoft doesn’t.

    http://en.wikipedia.org/wiki/Ubisoft#Current

    From your link:
    “Ubisoft Reflections in Newcastle upon Tyne, United Kingdom”

    In case you weren’t sure, UK means United Kingdom ;)

    #13 4 years ago