The submission encompasses several key policies aimed at bolstering the video games industry:
Increase in Video Games Expenditure Credit (VGEC) Rate: TIGA advocates raising the VGEC rate from 34 to 39 percent of qualifying expenditure. This adjustment is expected to accelerate growth within the industry, generate more employment opportunities, and stimulate investment. TIGA cites an average annual growth of 9 percent since companies became eligible for VGTR in 2014, indicating the potential for increased investment and job creation with a higher VGEC rate.
Establishment of Video Games Investment Fund: TIGA proposes the creation of a Video Games Investment Fund, providing pound-for-pound match funding ranging from £150,000 to £500,000 to game developers across the UK. This initiative aims to grant developers access to capital necessary for expansion and innovation, facilitating the creation of new games and the growth of their businesses.
Continued Support for UK Games Fund: TIGA emphasizes the importance of sustaining support for the UK Games Fund, which offers grants of up to £25,000 to businesses for game prototype development and a Content Fund.
In addition to these policy proposals, TIGA outlines a series of measures to enhance skills within the industry. This initiative follows the release of the TIGA Skills Report 2023, highlighting the impact of skills shortages and gaps in UK games development on businesses.
Dr. Richard Wilson OBE, CEO of TIGA, stated:
“TIGA is advocating for key policies to drive growth in the video games sector. Increasing the VGEC rate will stimulate investment and job growth, while the establishment of a Video Games Investment Fund will provide developers with the necessary capital to innovate and expand.”
Jason Kingsley CBE, TIGA Chairman and Creative Director at Rebellion, echoed these sentiments, expressing hope that the Chancellor of the Exchequer will recognize the industry’s potential and support TIGA’s policies to foster growth in the UK video games development industry.
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