Sections

UK's Video Games Tax Relief has paid out 324m in five years

Over 1,000 claims have been made by developers and publishers since incentive launched in 2014

HM Revenue & Customs have released new statistics that show the impact of Video Games Tax Relief since they were first introduced half a decade again.

A total of 234 million been paid out to 1,110 claims across 1,075 since 2014. According to HMRC's report, this accounts for 2.6 billion of UK expenditure, and 3.7 billion expenditure in total.

The number of claims has been increasing as the years have passed. 345 of the total claims were made in 2018-19, representing 535 games (claims can be made to cover several games).

The past year's claims have paid out 103 million to 170 UK games firms, since multiple claims can also be made for the same game project.

The 2018-19 represent 492 million in UK expenditure, and the HMRC expects this to increase. It notes the large increase this year is "due to a small number of very high budget games."

The majority of these claims have been for smaller amounts, with 57% being for 50,000 or less. These lower claims only account for 3% of the total payout.

Meanwhile 13% of the claims were for more than 500,000, accounting for 82% of the total payout for Video Games Tax Relief in 2018-19 so far. HMRC notes these proportions are similar to the past two years.

Video Games Tax Relief were introduced on April 1, 2014 after a long-fought battle by the games industry and "aim to promote the sustainable production of culturally relevant video games."

Related stories

Chucklefish apologizes for Wargroove's whitewashed voice casting

Developer says it made decision based only on audio files, pledges to be more sensitive in the future

By Rebekah Valentine

People of the Year 2019: Sam Barlow

We speak to the Telling Lies director about showcasing the true potential of interactive narrative in video games

By James Batchelor

Latest comments

Sign in to contribute

Need an account? Register now.