Friday, 23 March 2012

Tax breaks finally hitting the UK games industry

So after years of struggling to get tax breaks for the games industry in this country it looks like it's finally here (or at least, round the corner). George Osborne only lightly touched on the subject on Wednesdays big budget announcement, but did commit to provide tax credits for the video games, animation and high-end television industries. How much and when is not known as of yet, but the rumour mill has already started to churn them out and people are making educated guesses. 

George Osborne may have single handedly saved the games industry 

TIGA, an association representing the games industry produced a report in February (which you can buy/look into here) explaining how tax breaks will positively effect the games industry and set out clear guidelines on how the tax break system should work if one was put into place. Here's a snippet of it : 20% tax relief on production costs for games costing more than £3m to produce and 25% on games costing between £50,000 and £3m. But this will based on UK expenditure, using British staff.

Its about time the UK is getting these tax breaks. The UK (in my eyes) has one of the best creative industries in the world, and that's not just for games. So its sad to hear of all these studio closures with all the talented people losing their jobs because the government wont recognise the games industry as a serious player in the entertainment industry which produces A LOT of money (it currently makes more money then the film industry). Because of this we lose our talented people to other countries which do recognise the importance of the games industry and provide tax breaks (such as Canada). This means business (and job opportunities) is booming, something which is currently lacking in the UK. 

Hopefully by the time these tax breaks hit and start to take effect ill be ready to graduate and land my first job.

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