New research shows UK video games industry set for continued growth

Two players playing video games on TV at home

New research from London-based TIGA, the network for game developers and digital publishers and the trade association representing the video games industry, shows that the UK arm of the industry is set to continue its growth in 2018.

The study, shows that 68% plan to grow their organisation’s workforce over the course of 2018. While 70%, up from 64% in the same period in 2017, believe that the economic and business environment in the UK is favourable to the video games industry.

The company’s survey, which was carried out at the end of 2017, is based upon representative sample of 63 games businesses including small, medium and large firms, developing games across mobile/tablet, VR, PC and console.

Meanwhile, the study showed that 38% are worried about financial access could limit business potential.

Dr Richard Wilson, TIGA Chief Executive Officer, said: “The UK video games development and digital publishing sector is set to embark on another year of growth. 68% of respondents to our survey are planning to increase employment over the coming year.

“Video Games Tax Relief, which TIGA was instrumental in achieving, is fuelling growth in the sector. Games Tax Relief effectively reduces the cost and risk of games development and incentivises investment and job creation in the games industry.

“However, the clouds of Brexit and the UK’s relative economic slowdown are beginning to cast shadows on our games industry. A smaller proportion of games businesses plan to increase employment and investment in 2018 in comparison to last year’s survey. While 62% of businesses believe that they are performing well, this is down from 72% in 2017.

“The Government can help to drive our industry forward by improving our access to finance and to highly skilled people. On finance, the Government should consider introducing TIGA’s proposal for a Games Investment Fund (GIF). The GIF would make grants or loans of between £75,000 and £500,000 available to games businesses on a matched funding basis.”