Chancellor: Games tax relief one of the most generous in the world

Conservative MP and UK Chancellor George Osborne has said that today’s confirmation of video games tax breaks will create new jobs in the sector.

This is a key industry of the future and I want Britain to be one of its biggest centres,” he said. 95 per cent of UK video games companies in the UK are small medium enterprises.

This relief is one of the most generous in the world and will help them to grow, creating new jobs for hardworking people.”

The government reckons there are currently around 500 development studios in the UK that employ in the region of 9,000 staff. It estimates that around 35m worth of support a year will result of the new relief plans.

In 2011 and 2012 around 200m worth of relief was granted to the UK film industry, aiding in the production of some 200 movies. TV and animation relief for the TV sector came into effect last year.

Creative industries Minister Ed Vaizey added: This is tremendous news for the supremely talented and creative UK games sector.

The government recognises the important contribution the industry makes to the economy and is committed to supporting the industry’s continued growth through a range of measures like these new tax reliefs.”