UK Computer Game Tax Reliefs get EU Approval

Game DevelopmentTax reliefs for computer game developers that were first proposed in last year’s budget have received approval from the European Commission. The chancellor said of the video games industry in the UK: “This is a key industry of the future and I want Britain to be one of its biggest centres.”

The reliefs, which will take effect in April, are similar to those currently received by the film industry. Up to 80% of the budget for production of a qualifying game would be entitled to receive tax relief of 25%.

The computer games industry in the UK is currently strong. Around 9000 people are employed across 500 companies that develop games. According to the George Osborne, 95% of those companies are SMEs. The chancellor said that “This relief is one of the most generous in the world and will help them to grow, creating new jobs for hardworking people.”