The Liberal Democrats (UK political party for all foreigners concerned) have recently pledged their support for a tax relief plan put forward by the games developers association TIGA.
Although it is unlikely that we will see the prices of games go down in stores, TIGA boss Richard Wilson said “Games tax relief will increase employment, investment and innovation in the UK videogames sector”.
This news was announced yesterday by Chancellor Alistair Darling. Andy Payne, chairman of The Entertainment and Leisure Software Publishers Association, welcomed the news, stating, “It is absolutely heartening news to hear that the Chancellor has offered support for one of the country’s leading creative digital businesses. This is a very significant day for the computer and videogames business in the UK.”
This plan will ensure that developers that create successful games will be taxed less on their profits, and developers that make an unsuccessful game will receive a tax credit to reduce their losses.