In an open letter to the Chancellor of the Exchequer, Alistair Darling, CEO of TIGA Richard Wilson has urged the government to introduce a Games Tax Relief before the industry faces decline.
“I am writing to you in my capacity as CEO of TIGA, the trade association representing the UK games industry, asking for you to introduce a Games Tax Relief in the forthcoming Pre-Budget Report,” Wilson wrote. “TIGA has over 130 members including games developers, outsourcing firms, technology businesses and universities. TIGA's vision is to make the UK the best place in the world to do games business.”
The letter continued, “The UK has a track record in creating some of the world’s best selling computer games. The UK games industry employs more than 28,000, over 9,000 in games development, contributes £1 billion to the UK’s Gross Domestic Product and generates £400 million in tax receipts.”
Wilson also released a warning of what could happen under the current conditions: “The UK Government has a clear choice: invest in an inherently successful industry to perpetuate our leading position in the world, or preside over the decline of a key knowledge industry.”
Tax relief for me too, please, for being such a likable person.
The current Labour Goverment is all too well practised in ignoring the advice of independant advisories. I only hope some kind of agreement is reached before the damage to our homegrown industry becomes irreversible. Eidos has has been subsumed into Square and Midway Newcastle has already gone under just as they were starting to bring together Necessary Force which looked like a rather impressive concept. it would be a real blow to the British Gaming industry if studios like Ruffian Games, Rockstar and Realtimeworlds become led astray by promises of foreign goverment tax incentives. The Goverment was quite happy to throw away our money on a corrupt and unsustanable banking model so they should be compelled to provide help to one of Britains last flagship industries, shame on them if they won't.
So a tax relief would mean publishers pocket more money, but games are creeping up in price. Plus, there's too many games out there, most of them are crap to average, not forgetting the yearly updates. If there was a tax relief, would games drop in price? It won't happen because they'll be a knock on effect, with other industries making up excuses for a tax relief. Decline? Cut down on the amount of crap published = less spending = more money in their fat pockets.
I'm sorry, but no - he is lobbying for tax relief while there is a half realistic chance of this happening. Governments involvement in the industry has been only to castigate and condemn, right up until the greedy beggars saw the industry doing well during the current economic crises.
Good luck in getting somewhere with this - let's see if the government will put it's money where it's mouth is after months of salivating over gaming sales figures. This government probably won't do anything about it though, unless ther is something in it for them. Perhaps TIGA should offer to clean up a few moats or paint a few duck castles for those in peerships just to lubricate the deal.
TIGA are very right in their approach and timing - all we have to do now is watch the chancellor completely ignore their smart words and send the industry down the swanny, I'm sure there'll not be any bail-outs for this industry either!