Video game tax relief certifications up 65% in Q1

Katharine Byrne
Video game tax relief certifications up 65% in Q1

The number of games qualifying for the BFI's video games tax relief (VGTR) has risen again this quarter by 65 per cent year-on-year. A total of 58 games received final certification in Q1, up from 35 in Q1 2016, with a European Economic Area (EEA)/UK spend of 41m and a total budget of 58m,the BFI has announced today.

That takes the total number of games that have received final certification in the last 12 months to 212 - an increase of 59.4 per cent compared to the 133 games certified between April 2015 March 2016,according to Ukie. During this period, EEA/UK spend also increased to 220m, up from 189m, but the total budget decreased from 275m to 258m.

Meanwhile, 51 games received interim certification under the cultural test in Q1 - up 27.5 per cent year-on-year - and a total of 187 games received it during the last 12 months.

Dr Jo Twist OBE, CEO of Ukie,commented: "VGTR is fuelling confidence and growth and is a real driving force behind the creation ofinnovative UK content.

"The continued year-on-year rise of games businesses applying for Video Games Tax Relief is a clear message to government that it is critical that thefunding isprotected and improved over the important political period we are entering into.

"As we leave the EU, Ukie calls on thenext government to continue to recognise the value of the games sector in driving cultural and technological innovation and growth; continue to support this much valued scheme, and to consider other opportunities to improve access to finance in order to continue to take risks with innovative, cultural content."

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