And, according to Tiga, the proposed measures will stimulate £457m in dev investment
New measures to introduce game development tax breaks will give Britain 3,550 graduate-level jobs.
That’s according to Tiga, the game industry association which spearheaded the UK’s push for state tax aid.
Providing the next government follows Tiga’s guidelines, it is claimed that tax breaks will “create or save 3,550 graduate level jobs”, but also “increase and safeguard £457 million in new development expenditure that would be otherwise lost.”
FULL COVERAGE: UK TAX BREAKS
Tiga says that tax relief will “encourage game developers to adopt new online, more sustainable business models and sell directly to the consumer.”
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The association’s broad message is that the tax relief measures will “enhance the competitiveness of the UK video games industry” in regards to the wider global market.
“Our overseas competitors would no longer have a cost advantage against us,” the group states.
“Games Tax Relief should lead to increased investment, job creation, innovation, stimulate the development of new genres of games and ameliorate the brain drain of skilled staff to overseas studios.
“Our overseas competitors would no longer have a cost advantage against us,”
Except they would. A studio in the US is based in a country with a lower cost of living. If the cost of living is lower, then the staff don't require the huge salaries they demand over here to cater with our "tax, tax and more tax" way of life. Saying that, they don't "need" the huge salaries they demand over here. We just unfortunately have a greedy generation of developers who think money is the reason to develop games, instead of the games themself... but that's another story. If the staff require a lower income, then the studio costs are less... etc...
It's only the industry getting the tax breaks, every member of staff, will still be subject to this country's ever increasing tax millstone, for each one of us to carry round our necks.
And I still think there is going to be a "give with the left, take with the right" scenario. I don't think this is finished by a long shot.
"And, according to Tiga, the proposed measures will stimulate £457 in dev investment"
Only £457? Hardly worth it is it? I think you missed a few zeroes off that number ;)
Well, it's £457 more than we had yesterday. Shall we blow it all on a soon-to-be ex-MP lobbyist, or a slap up tea at Mrs Miggins' Pie Shop?
How embarrassing. Updated the story.
So in practice how will this work? Yes - games tax relief should result in the things quoted. However as an industry veteran I can't help but feel there's more chance of this cash ending up buying classic cars for senior management. Games developers are notorious for syphoning funds around in a less than honest manner. Can someone explain why this will be different? Can't wait to read the Telegraph's expose in a couple of years time.
@ Not all true
Many of the "greedy developers" you mention are struggling to pay their rent. It's not easy to be a well paid developer in this industry. As Develop recently reported the average wage is 32k. Try raising a family on that without applying for tax credits.
