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UK tax environment

Report agrees with Tiga that the government needs to sort it out.

Immediate release

December 19th 2008

A report published by Microsoft in collaboration with BCS and Intellect, Developing the Future, has confirmed that the UK tax environment has become less favourable to games developers. The report also echoes Tiga’s argument that an insufficient number of pupils and students study computer science, physical science, technology, engineering and mathematics.

Richard Wilson, CEO of Tiga, said:

"This new report confirms that the UK's tax system is becoming increasingly uncompetitive in comparison to the tax systems in other countries. This is detrimental to the interests of the UK software industry in general and to the games development sector in particular. The UK games industry would benefit from a tax break for games production and from a reduction in the tax burden on business. In the absence of such tax measures, the sector will not fulfil its potential.

"The report also echoes Tiga's deep concerns about the education system. The video games development sector needs more well qualified and competent graduates in computer science, mathematics and physics. We also need first class artists and animators. Yet the industry faces skills shortages, particularly in job areas such as computer programming, art and animation.

“In the run up to the March Budget, Tiga will continue to make representations to HM Treasury for the case for a more favourable tax regime for UK business as a whole and for games developers specifically. We will also continue to advance our positive agenda for improving education and skills for the benefit of developers, higher education and students.”


Notes to editors:

1. Tiga is the national trade association that represents games developers in the UK and in Europe. We have 160 members, the majority of whom are either independent games developers or in-house publisher owned developers. We also have outsourcing companies, technology businesses and university departments that are members.

2. Tiga’s vision is to make the UK the best place in the world to do games business. We focus on three sets of activities: political representation, generating media coverage and developing services that enhance the competitiveness of our members. This means that Tiga members are effectively represented in the corridors of power, their voice is heard in the media and they receive benefits that make a material difference to their businesses, including a reduction in costs and improved commercial opportunities.

3. For further information about the report Developing the Future, please see: www.*microsoft*.com/uk/*developingthefuture*/

4. For further information about Tiga, please contact: Dr Richard Wilson, Tiga CEO on:



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