Guerrilla Games' Cambridge branch has been closed by Sony, with all employees to be made redundant.
Gamesindustry.biz broke the news, and reached out to Sony for confirmation. Sony have said that the compulsory redundancies are "regrettable" but that the decision to close the studio is part of a review of all of the current PlayStation projects and resources. This makes sense with the recent reshuffled of Sony's worldwide PlayStation reorganisation, but this doesn't soften the blow of losing a well-respected UK studio who were well known for their work on titles like recent PSVR title RIGS and former successes like Primal and the MediEvil franchise over the 19 years the studio has been open.
In a statement, Sony continues: "Whilst we accept that this decision will mean that we risk losing high calibre staff, by focusing on other Studios with exciting new projects in development, (including continued work on PlayStation VR), we believe we will be in a stronger position going forward and able to offer the best possible content of the highest quality to our players."
No other European studios will be affected by the closures, including Guerilla Games' Amsterdam location, who are currently working hard on Horizon: Zero Dawn.
Sony have pledged to try and help its employees find new work, and luckily Cambridge has a thriving games scene, with Frontier, Jagex and other studios being based in the area.