New report finds 'compelling arguments for a tax relief, and real concerns against'
Trade association UKIE has said it is ‘disappointed with indecision’ on the issue of games tax breaks in a newly-published report by Scottish Affairs Select Committee.
The 38-page report – of which its twenty key recommendations can be found here – concluded that there “are compelling arguments for a tax relief, and real concerns”.
The Committee wants the possibility of a games industry tax relief kept under review, and calls for the industry to be “monitored for the potentially malign effects of uneven international competition”.
The report also believed that game development tax breaks would not be introduced “in the foreseeable future”.
UKIE, which has in recent weeks intensified its call for games tax breaks, said “whilst we are disappointed that the committee was undecided on how effective tax breaks would be for the UK games industry, we are pleased that the committee recommends that tax breaks should be kept under review and that a comprehensive assessment of the benefits of a games tax relief government should be carried out.”
The association said it would continue to work with Tiga “to deliver a compelling case for industry specific tax breaks”.
Tiga, in a separate release, praised the Committee’s report for backing many of its longstanding views on games tax breaks.
The apparently universal sentiment on games tax breaks from both UKIE and Tiga comes amid rumours that the two trade bodies could finally merge as one.
Develop understands that these two groups are now looking to explore common ground and could meet later in the month to explore options.
That issue could now be complicated by a new recommendation in the Committee’s report that suggests another, Scotland-specific trade body should be established.
UKIE director general Mike Rawlinson was unavailable to contact to discuss the matter.