TIGA, the trade association representing the UK video games industry, has outlined its priorities for the sector ahead of the Autumn Budget on 30th October 2024.
TIGA believes the Government should help create a favourable environment for our sector, because a successful video games industry will contribute to the Government’s objective of securing the highest sustained growth in the G7.
TIGA stated in its submission to the Rt Hon Rachel Reeves MP, Chancellor of the Exchequer, that the single most important measure that the Government can take to drive investment, employment and studio growth in the UK is to retain and enhance Video Games Tax Relief (VGTR)/Video Games Expenditure Credit (VGEC).
VGTR was introduced in 2014 partly to enable our sector to compete on a more level playing field against our international competitors who benefited from tax credits. VGEC has been available to claim since 1st January 2024. VGTR will be phased out by April 2027
VGTR/VGEC has successfully driven average annual studio staff headcount growth of 9 per cent (2014-April 2023).
Many of our competitors in countries including France, Canada and Australia now have more generous tax incentives for games production than the UK.
The Government could explore the benefits of enhancing VGEC by providing a higher rate of relief for smaller games projects, increasing the existing rate of relief for all projects and / or expanding qualifying costs. Enhancing the VGEC would help to keep the UK a leading location for game development globally, boost investment, create high skilled jobs, and encourage the growth of games clusters throughout the UK.
TIGA CEO Dr Richard Wilson OBE said: “The UK video games industry is a vital contributor to our economy. Our sector provides high skilled employment, is export focused and supports economic growth across the UK. VGEC is a crucial measure for attracting investment, creating jobs, and fostering innovation. We urge the UK Government to retain VGEC in the upcoming Autumn Budget. Retaining and enhancing VGEC will support growth in the UK games industry and ultimately support the Government’s objective of securing the highest sustained growth in the G7.”
Notes to Editors
TIGA is the trade association for the UK video games industry. TIGA’s vision is to make the UK the best place in the world to develop video games. To this end, TIGA:
- engages with policymakers to create an environment favourable to video games development;
- enhances education and skills through our accreditation programme, the TIGA Games Education Awardsand our education conference;
- promotes best practice through our membership services, including the TIGA STAR Employer Award and the TIGA Games Industry Awards;
- conducts primary research into the games sector, surveying hundreds of companies each year about the business environment, support policies and the health of the industry.
Get in touch:
Tel: 0845 468 2330
Email: info@tiga.org
Web: www.tiga.org
Twitter: www.twitter.com/tigamovement
Facebook: www.facebook.com/TIGAMovement
LinkedIn: http://www.linkedin.com/company/tiga