Report: Global Publisher Killed UK Tax Breaks

June 25, 2010 -

Develop is reporting that “one of the biggest game companies in the world" used strong arm tactics to help kill tax breaks for UK videogame developers.

The unnamed company in question reportedly “spoke to well-placed parliament allies to dissuade any legislative measures.” Why would one company lobby so tirelessly against a measure that would help the industry as a whole? Develop wrote:

This company had apparently viewed game tax relief as a measure that would have given the UK an unfair advantage over other nations.

An unfair advantage? That phrase doesn’t make much sense considering the UK has fallen into fourth place (by some accounts) in terms of number of game developers, trailing Japan, the U.S. and Canada.

Scandalous! Before we all start guessing who it is, consider that “Bobby Kotick” himself commented on the Develop story saying, “Lol, don’t look at me!”
 

Thanks NovaBlack and beemoh!


Comments

Re: Report: Global Publisher Killed UK Tax Breaks

Surely more countries offering tax breaks adds to more competition in driving down the costs?

Could the lobbying have also been backed by foreign governments (say the Canadian government)?

Re: Report: Global Publisher Killed UK Tax Breaks

Before we all start guessing who it is, consider that “Bobby Kotick” himself commented on the Develop story saying, “Lol, don’t look at me!”

So who can we look with relentless eyes full of evil for making the UK drop the tax break? 

http://www.magicinkgaming.com/

Re: Report: Global Publisher Killed UK Tax Breaks

I honestly don't know and I find it shameful to think that any game company would want to sabatoge the games industry in any nation.

But I guess you really need to look at who has been taking advantage of tax incentives in other nations. A few companies come to mind.

E. Zachary Knight
Oklahoma City Chapter of the ECA
http://www.theeca.com/chapters_oklahoma

Re: Report: Global Publisher Killed UK Tax Breaks

But why would they do that? Surely another country offering tax breaks alongside all the other ones is somewhere they can start another studio alongside all their other ones to make even more money at?

If they are already active in the UK, where is the incentive for them to stop such a scheme, and if they aren't, where is the incentive for our government to turn down business that isn't even in the country anyway?

Unless it's a UK-based company enjoying foreign tax breaks that's had those threatened by said foreign government, but that's far too much like a conspiracy theory for me.

/b

Re: Report: Global Publisher Killed UK Tax Breaks

Never said it makes sense.

TIGA has been complaining for a while that the UK talent pool has been moving to Canada for jobs. I would think a company there would not like to have that steady stream of talent slow or stop all together. Plus it would be expensive to set up yet another studio in yet another country just to get the tax incentive.

E. Zachary Knight
Oklahoma City Chapter of the ECA
http://www.theeca.com/chapters_oklahoma

Re: Report: Global Publisher Killed UK Tax Breaks

It makes sense to me in one case.  If the company in question has no assets in the UK.  Then it's in their best interest to want it to cost more to run a games company in places where they aren't doing so.  In the end it keeps them in a better position by not allowing the playing field to get levelled.

Also higher labour costs means lower salaries, means the best people tend to stay away since they can get paid better elsewhere.

It's shameful behaviour to be sure, but it does make sense.

===============

Chris Kimberley

===============

Chris Kimberley

 
Forgot your password?
Username :
Password :

Poll

Will we ever get Half-Life 3?:

Shout box

You're not permitted to post shouts.
Neo_DrKefka#WriteAKotakuArticle "#GamerGate is responsible for breaking millions of Intel powered macbooks after angry SWJ hipsters slam them shut"10/02/2014 - 12:15am
Neo_DrKefkaSo Intel has dropped Gamesutra due to there support of your Gaming News Cabal Fudge. Anti GamerGate article soon? Or like your e-mails are you hoping this narrative dies down soon?10/02/2014 - 12:14am
Andrew EisenWell, time to eat some dinner and work on the Hyrule Warriors guide until bedtime!10/02/2014 - 12:11am
Andrew EisenJust finished my stream. That... could have gone better. Technical issues prevented me from playing a console game so I instead played and bitched about The Walking Dead for two hours. Oh well, the folks watching still seemed to enjoy it.10/02/2014 - 12:09am
Matthew Wilsonwe all know valve can not cout to 3.10/02/2014 - 12:08am
MechaTama31Who cares? Gimme Portal 3!10/01/2014 - 9:38pm
quiknkoldAndrew : Mostly I decided there were better people who could explain what was going on, or fight any battles that may come up. so I decided not to talk about it anymore.10/01/2014 - 8:49pm
Andrew EisenI don't recall you promising that. GamerGate is not a taboo discussion here. Anyway, thanks for the link. Very interesting.10/01/2014 - 8:47pm
quiknkoldI know I promised to not talk about Gamergate again, but Intel just pulled sponsership from Gamasutra over it http://techraptor.net/2014/10/01/gamasutra-intel/10/01/2014 - 8:40pm
quiknkoldP.T. is a game I just cannot play alone. I puss out hard on it. need somebody with me when I play that. Kojima was right. it is Pants Shittingly Scary10/01/2014 - 6:17pm
quiknkold@james_fudge not playin all the way through. P.T, Silent Hill(Not sure which), Resident Evil Gamecube Remake, Alien Isolation, Ghostbusters, Outlast, Super Castlevania 410/01/2014 - 6:04pm
james_fudgeI wish I could like that last shout.10/01/2014 - 5:48pm
MechaTama31Tried out Sims 4 on my brother in law's pc. Promptly got my sim exhausted, to soil himself, then sent him without cleaning up to mock people at the museum. Good times...10/01/2014 - 5:33pm
E. Zachary KnightSo they figured out how to share CPU cycles between pools and their advanced emotions engine? Sweet.10/01/2014 - 2:53pm
MaskedPixelantehttp://www.joystiq.com/2014/10/01/ghosts-pools-darth-vader-coming-to-the-sims-4/ Pools no longer impossible.10/01/2014 - 2:06pm
james_fudgeDon't eat angry.10/01/2014 - 1:49pm
E. Zachary KnightI am pretty hungry. I feel like I could smash some supper. Not sure if I am up for making a collage though.10/01/2014 - 1:00pm
Matthew Wilsonhttps://www.facebook.com/SmashBrosEN/events What a weird idea. Nintendo will be bringing Supper smash brothers for 3ds and wiiu to collage football games.10/01/2014 - 12:52pm
PHX CorpI'll give the hosting 2 Streams on twitch a spin during extra life marathon10/01/2014 - 12:41pm
james_fudgequiknkold:: oh yeah which games?10/01/2014 - 11:20am
 

Be Heard - Contact Your Politician