Government must reverse inward investment trend


The UK video games industry is heavily reliant on global publishers for inward investment. Last year 76 per cent of all investment in the UK games industry was from global publishers. Investment by UK video games studios fell by£41 million between 2008 and 2010.

Dr. Richard Wilson, TIGA CEO, commented:

“If the UK economy is to enjoy a strong recovery then we must continue to encourage FDI. The Government must engineer a low tax environment to encourage inward investment in the UK economy. As far as the video games industry is concerned, the Government should look again at the case for a sector specific tax break for games production. Three major global publishers– Activision Blizzard, THQ and Ubisoft– have each stated that they would be more likely to invest in the UK video games sector if we had a tax break for games production. TIGA will continue to refine the case for Games Tax Relief and encourage the Government to think again about the merits of this important measure.”


Notes to Editor:

The inward investment figures were revealed in a Parliamentary written answer:

Foreign Investment in UK

Nicholas Soames: To ask the Secretary of State for Business, Innovation and Skills what progress the Government has made in securing greater inward investment to (a) England and (b) the UK. <55132>

Mr Prisk : In the financial year 2009/10, the UK attracted a total of 1,619 Foreign Direct Investment (FDI) projects, down by 7% on 2008/09. Within this total, 1,409 projects were in England, down by 9% on 2008/09. This performance is against the backdrop that global investment flows declined by approximately 40% in 2009/10.

Within the overall total of 1,619 FDI projects into the UK in 2009/10, UK Trade and Investment (UKTI) assisted a total of 759 projects, confirmed as locating or expanding in the UK up by 26% on 2008/09.

Within the overall UK total of 759 UKTI assisted projects in 2009/10, 701 FDI projects were confirmed as locating or expanding in England also up by 26% on 2008/09.

The Inward Investment results for the UK for the financial year 2010/11 will be announced on 12 July 2011.

About TIGA:

TIGA is the trade association representing the UK’s games industry. The majority of our members are either independent games developers or in-house publisher owned developers. We also have games publishers, outsourcing companies, technology businesses and universities amongst our membership. TIGA was awarded‘Trade Association of the Year’ and the‘Member Recruitment Award’ at the Trade Association Forum Best Practice Awards 2010. TIGA has also been named as a finalist in the 2010 Chartered Management Institute (CMI) National Management and Leadership Awards in the category of‘The Outstanding Organisation of the Year Award (SME)’. TIGA is an Investors in People organisation.

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.

For further information, please contact Dr Richard Wilson, TIGA CEO on 07875939643: or email ; or contact David Hodges on 02070911653


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