TIGA has announced that while tax relief in the UK has been delayed, the Government is still planning to legislate for Games Tax Relief in the current Finance Bill.
“Although Games Tax Relief has not yet received State Aid clearance from the EU Commission, TIGA has been assured that the UK Government is committed to this Relief, will be legislating for this Relief in the Finance Bill and will deliver this Relief,” said Dr. Richard Wilson, TIGA CEO.
“Games Tax Relief is vitally important because its introduction will enable the UK to compete on a level playing field against our overseas competitors who already have tax breaks. Games Tax Relief will also power investment and job creation and address the market failure in the under-production of culturally British video games.
“TIGA stands ready to work with the UK Government and EU Commission to accelerate the introduction of Games Tax Relief. Businesses need to see the measure introduced as soon as possible to aid commercial planning. The increase in the budget for the Skills Investment Fund and the new digital competition will strengthen the competitiveness of the UK games industry. Together with Games Tax Relief they make a helpful hat trick of policy measures.”
Corporation tax will also be reduced to 20% in 2015, while the Seed enterprise investment scheme will be enhanced. R and D Tax Relief will be increased and the employment allowance worth up to £ 2,000 for businesses would be introduced.