The Scottish industry contributes more than £99m to the UK economy, according to research conducted by industry trade body Tiga.
Between 2012 and 2013, the number of development studios increased from 81 to 94 companies.
The number of staff grew from 766 to 964, while the number of jobs indirectly supported by studios rose from 1,497 to 1,762.
Annual investment by studios in the region increased 18 per cent to £45m. Tax revenues generated by the sector grew by 17 per cent to £45m.
Overall Scotland is said to represent 11.4 per cent of total UK studios and 9.7 per cent of employed developers.
As a result of the industry’s recent growth, Tiga now anticipates the effect of games tax relief in Scotland over the next five years will be greater than expected.
Tax breaks could help create over 200 new jobs at studios, and 360 indirect jobs. The trade body also expects the Scottish game industry’s GDP contribution to rise by £65m.
“The Scottish games development sector is set for growth, powered by the advent of games tax relief and supported by Scotland’s excellent higher education institutions,” said Tiga CEO Richard Wilson.
“Yet we can do more to enable Scotland’s games development sector to achieve its potential. Tiga proposes the introduction of a prototype fund – potentially financed via the National Lottery – to help developers surmount the barriers to accessing finance; the establishment of a Creative Content Fund to co-fund new content development and IP generation; and designating dedicated games development incubators in universities to promote high technology video games clusters in Scotland and around the rest of the UK. If adopted, these measures would support start-ups and strengthen the games development sector.”
On Thursday, October 2nd, Develop will be hosting an all day conference, Develop Live, at The Traverse Theatre in Edinburgh, Scotland.