Tax credit proposals recieve 'powerful endorsement' from a new NESTA report
The likelihood of tax breaks for the UK games industry is growing fast with a new report ‘powerfully endorsing’ the idea.
The independent report – published by NESTA – is a response to Westminster’s call for evidence to show that game tax breaks would have a beneficial impact.
NESTA’s survey claimed that 97 per cent of the its respondents – comprised of industry members and external financiers – had backed the idea of tax breaks for the games sector.
At the same time, all surveyed development studios believed that a tax break would lead to a bigger workforce across the industry.
NESTA has also revealed to develop that the survey approached thirty “leading UK industry executives”, including games developers, publishers, as well as financiers.
Tiga CEO Richard Wilson said the report was a "powerful endorsement" for UK tax breaks.
“NESTA’s research confirms that while the UK video game sector remains a world leader, it has been under enormous pressure for the last five years,” he said.
“This is because our key overseas competitors have benefited from generous tax breaks for games production. The unfavourable tax environment has also led to a decline in the development of original intellectual property on the part of the UK games industry.”
Westminster’s release of the full Digital Britain report back in June revealed that the UK government has “committed to work with the industry to collect and review the evidence for a tax relief ”.