Scottish video games industry surges by 25%

Scottish video games industry surges by 25%

TIGA, the network for video games developers and the trade association representing the video games industry, has revealed today that the Scottish video games industry grew by 25% between December 2014 and March 2016.

The data showed that this 25% increase was more than twice the national average and the second fastest growth in the UK after Wales. Scotland also became the third largest games cluster in the UK, after the South East of England and London.

TIGA’s research also showed that Scotland has 1,290 permanent and full-time equivalent creative staff working on games development in 85 companies, and is home to 9.45% of the UK’s total games companies and 9.8% of its developer headcount.

Annually, Scottish games development companies are estimated to invest nearly £62m in salaries and overheads, contribute £56m in direct and indirect tax revenues to HM Treasury, and make a direct and indirect contribution of nearly £138m to the UK’s Gross Domestic Product (GDP).

Dr Richard Wilson, TIGA CEO, said: "TIGA’s latest research shows that the Scottish video games industry grew dramatically in 2015-16. The Scottish video games industry is now the third largest games cluster, after the South East and London. The Scottish games sector is diverse, with companies working in games for mobile, online, educational and console markets.

"If the Scottish video games industry is to continue to grow then we need to ensure that more Scottish games companies benefit from Games Tax Relief and Research and Development Tax Credits, both of which effectively reduce the cost of games development.

"We also need to provide start-ups and small studios with better access to finance and business advice. To achieve this, TIGA has proposed the introduction of a Games Investment Fund. The Games Investment Fund could make grants or loans available to games businesses on a matched funding basis. The Games Investment Fund would also provide a commercial mentoring business advisory service, staffed by industry veterans, for games companies that access its grants or loans."

 

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