Revenues from the UK's videogames industry hit GBP 1.73 billion (USD 2.8 billion) in the 12 months to the end of September 2009, according to figures from GfK Chart-Track - more than 70 per cent higher the Box Office, which UK Film Council numbers posted at GBP 1 billion (USD 1.6 billion) in the same period.
That's despite cinemas in the country enjoying their best performance for almost 30 years, reports The Telegraph.
GBP 198 million was spent on film titles on DVD and Blu-ray, bringing the medium's total up to just under GBP 1.2 billion (USD 1.9 billion) - meaning that games outperformed films overall by over 44 per cent.
That means that only television - including the sale of DVD boxed sets, the TV license and satellite subscriptions - made more money.
"Like anything digital, Parliament has a very narrow view of videogames," said Labour MP Tom Watson, who welcomed the news. "Too many politicians think video games are played by teenage boys staying up all night shooting things in their bedroom.
"And yes there are plenty of those, but there also a huge range of people of many different ages who love playing games. The industry has matured over the last decade, and so too have gamers."