Wednesday, 21 March 2012

Games Industry Tax Break in UK




£50million pound tax relief for video games industry.

Something for game artists to look forward in a budget for once, considering that I'm on a path to hopefully gain a job in the games industry I couldn't be more thrilled. For too many years talented artists, programmers and developers have been forced from the UK for better job prospects abroad and to be honest I felt like is should be one of them. Thank god that the government has finally realised just how profitable the games industry is and it's only going to get better. Games are the staple diet of interactive media for all first world countries and its only going to gain more support and popularity.
European market.jpg
This demographic shows the European market for around 2008 for interactive media sales and clearly shows that the UK is quite happy to continue to spend, statistically, more money on video games than any other country barring the USA.

Reading up on how much the games industry makes is astronomical, with such a deep seated recession in the works it was only inevitable that a tax break is in order. The worldwide revenue for games was $48.9 in 2011 and predicted $68 billion in 2012 comparing this to other entertainment industries;

·         Music Industry- $10.4 billion (US 2008) and $30 to $40 billion globally.
·         Movie Industry- $9.5 billion (US 2008) and $27 billion globally.
·         Book Industry- $35.69 billion (US 2007) and roughly $68 billion globally (2002) (Euromonitor Intl)
·         DVD Industry- £23 billion (US 2008) (buying $16billion, renting $7billion)

Why try to hinder something that was obviously successful even 10 or 20 years ago, many other countries have thrived from allowing tax incentives for developers and have seen successful realises of some of the world's best franchises. We seem to be only following suit with what other countries had done 10 years ago. The UK is supposed to be the cultural and entertainment capital of the world. Let's evolve as a new hub for games development and leading industry professionals. We have the resources at our deposal to be world leaders in yet another field and its clearly not going to be an economical mistake by any means. Generations have grown up with games and will continue to use them as a new era of fans develop through subsequent generations. This will only continue to increase the global market. By 2015, analysts predict the global video games industry will reach $91 billion. Drawing in foreign investment and allow new companies to flourish will benefit our economy and the games industry as a whole. As well as allowing long standing companies to survive bad market conditions and save and secure thousands of jobs. Including my future jobs prospects, this can only be a good thing financially, with more sales my future income will increase and I couldn't be happier.

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