Report: UK Government Reconsiders Tax Breaks
UK chancellor of the exchequer George Osborne is re-considering the introduction of tax relief for the nation’s videogame industry, according to reports.
The Sunday Times [subscription required] claims that the chancellor is “considering the introduction of tax breaks for the computer game industry as an eye-catching measure to put in his budget for growth.”
Prior to last May’s general election, all three main political parties expressed their support for tax breaks for the videogame industry, first introduced by the Labour government last March. However, incoming coalition chancellor Osborne cancelled plans in his emergency Budget last June, describing the measure as “poorly-targeted”.
Now it appears to be back on the agenda, with the Times reporting that Osborne will include £30 million of tax relief for the videogame industry. While some way short of the £100 million TIGA has long requested – which it claims would create 1,300 new UK jobs by 2015 – the trade body’s director general Michael Rawlinson welcomed the news, telling Develop it was “a sign the government is taking the game industry seriously.”
“The government is seriously looking for initiatives that support Britain’s creative industries, and the games industry is an important one for them,” he said, adding that TIGA will “continue to campaign aggressively for games tax relief in the run up to the Budget,” which is to be announced on March 23.