UK games industry trade group TIGA says that it plans to bring a "record number" of delegates from the United Kingdom to the Game Developers Conference this year. TIGA, in partnership with the UKT&I’s Trade Access Programme, has allocated 19 grants of £1400 ($2,250 USD) to assist companies with their exhibitor costs at GDC and Game Connection @ GDC.

"The UK game development sector is an export success story. A typical game developer generates 62 per cent of their turnover through the export of games," said Dr Richard Wilson, TIGA CEO. "Attending overseas trade shows helps game developers to maximise their export potential. TIGA is delighted to be an accredited trade association, working with UKT&I, to enable UK developers to achieve success at GDC."

The Scottish Affairs Committee released a 38-page report today called "Video Games Industry in Scotland," that highlights twenty key proposals it believes will improve the video game industry in the UK. Some of those proposals include tax relief similar to what is offered forto the movie industry, research & development tax relief, and adaption of the Livingstone-Hope Review, among other things designed to create a more prosperous environment for game makers and publishers.

On a related note, the UK industry trade group TIGA said in a press release today that it "welcomed" the report and said that many of the proposals it listed echoed much of what it has said in the past.

The entire list of proposals - taken from Develop - can be found below:

While TIGA and UKIE applauded the Livingstone-Hope Skills Review report released earlier this week, the trade groups representing in the interests of publishers and developers says that they have no plans to merge the organization into one entity - as the report suggested they do.

TIGA applauded recommendations that it has been seeking doe a very long time including using video games to promote the study of science, technology, engineering and mathematics subjects, and support for "Knowledge Transfer Partnerships." TIGA CEO Richard Wilson said he welcomes the proposal "requiring higher education institutions to provide good quality data about the employment destination of graduates from games courses and other disciplines relevant to the video games industry."

A new report calls for UK trade groups TIGA and UKIE to work together to better support the industry in the region. The recommendation is part of the UK video games education review revealed today (the Livingstone-Hope report).

"Progress is all about simplification not complication," reads the report. "In order to be clearly heard, it is important to speak with a single voice. To be taken seriously the video games industry and its trade bodies must be united to raise awareness of the opportunities it offers and the issues it faces. Only then will it be able to effect change."

The report goes on to say that the UK games industry would be better served by one organization - possibly by combining the two groups.

UK video game industry trade group TIGA has re-released a revised 85-page document showing the positives of the government offering tax relief to the industry. The report, a revision of a document that was released to Labour Party government in 2008, was put together by TIGA, Osborne Clarke, games research firm Games Investor Consulting. The thrust of the report is that, if the government were to approve tax relief for the video game industry, it could create 3,366 industry jobs and create £431 million in investments.

TIGA says that this tax relief should be calculated in the same way that existing tax relief for British films is calculated.

Publishing trade group UK Interactive Entertainment (UKIE) released estimates that for every game sold at retail four games are pirated. Director general Michael Rawlinson told GamesIndustry.biz that the group plans to commission "thorough research into the problem," though it probably should have done that before throwing the 4-to-1 figure out to the general public.

"Based on information received from a number of publishers we have estimates of games piracy running at between 4:1 against legitimate sales," said Rawlinson.

Rawlinson says that a recent report in the BBC's Newsbeat ("High Street retail lost £1.45 billion in 2010 due to piracy") is based on a "conservative guess using "the equivalent of console software sales in the UK last year."

UK game industry trade group TIGA is urging the government to introduce a package of measures including "Games Tax Relief," enhanced research and development tax credits, a lottery-financed prototype fund for the game development industry, more investment in higher education, incentives to study STEM subjects at the college level, tax relief on training related to the industry, a more flexible migration policy, an expansion of Knowledge Transfer Partnerships and high speed broadband comparable in speeds to our main competitors.

"For too long the Coalition Government has acted like a one club golfer: it has had a strategy for reducing the deficit but little to say about growth," said Dr. Richard Wilson, TIGA CEO in a lengthy statement issued this morning. "The Government’s Growth Review is long overdue – not least because strong economic growth is crucial to reducing the deficit."

UK Department for Culture, Media and Sport minister Ed Vaizey said at a recent meeting that tax breaks for the UK games industry could be a long ways away. Speaking recently at DCMS select committee meeting, MP Vaizey said that tax incentives for the interactive entertainment industry could be off the table for three to four years. He also said that he would encourage trade group TIGA to look for alternatives to tax incentives for the industry.

When asked if tax incentives were completely off the table, Vaizey said that he would "encourage TIGA in particular to look at other creative options."

Those other options include "regional growth funds" and direct support from the government - specifically the Department for Business, Innovation and Skills.

Source: GameSpot UK

UK-based trade organization TIGA issued a statement this morning about the government's announcements on corporate tax reform, and its plan to introduce a "Patent Box." The UK government announced that it will introduce a Patent Box in April 2013 – a 10 percent CT rate on profits from patents. The UK government also announced a "Corporation Tax Road Map" and timetable to deliver a reduction in corporate tax for large and small businesses. The plan calls for a reduction in the rate from 28 to 24 percent over the next 4 years and a reduction in the small profits rate from 21 to 20 percent from April 2011.

As the UK government considers a plan to cap immigration, industry group TIGA called on the country’s administration to ensure that its policy “does not hinder UK games companies employing skilled migrants.”

As explained in the Wall Street Journal, the coalition government plans to introduce an annual limit on net immigration from outside of the European Union next April, but the cap limit has yet to be decided. An interim cap has been introduced, which will reduce immigration by five percent from previous year’s levels.

While game industry group TIGA continues to pound politicians on the subject of instituting Games Tax Relief for UK interactive developers, one Canadian developer feels like the UK's rich history of creating games created as tax breaks, at least when it comes to landing new publishing deals.

The Scottish Government has outlined its “plans and ambitions" for the country’s digital economy in a document entitled A Digital Ambition for Scotland (PDF).

The aim of the plan is to boost job opportunities, promote the country’s “rich cultural assets,” and move more public services online. To do this, Scotland proposes that the proliferation of next-generation broadband become more widespread by 2015, and available to all citizens by 2020.

Game industry group TIGA is using comments from a THQ executive to further press for tax relief for the videogame industry in the UK.

Speaking to GamesIndustry.biz, THQ Executive VP Danny Bilson called the talent in the UK “extraordinary,” and while he would love to see his company build a new studio in the region, it won’t happen anytime soon because “it's all about money at the end of the day.”

THQ opted instead to build a new 400-employee studio in Montreal, where it will receive tax breaks of 37.5 cents for every dollar spent on labor costs, which Bilson called a "huge win" and would enable the developer to "put more on the screen."

Bilson added:

UK-based video game industry trade group TIGA has released a free eBook for students and budding game developers looking to jump start a career in the industry. The eBook, Guide to Career Paths in Games Development," offers advice and tips on how to get into the games industry including advice on qualifications will be needed to succeed, what you can expect to make in various development fields, and what areas in the UK offer the best jobs and opportunities.

"In our experience people are often unaware of the fantastic opportunities that exist in the UK games industry," said TIGA CEO Richard Wilson. "They also do not realize the size of the industry here in the UK. We hope this guide will offer people practical, straight-forward advice on how to secure a job in this exciting sector."

Thanks in large part to the demise of Realtime Worlds, employment in the Scottish videogame sector has fallen 18 percent in 2010, according to new research published by UK game industry group TIGA.

TIGA’s statistics claimed that there are 46 game development businesses in Scotland, which employ 650 workers and contribute £67 million (approximately $103 million U.S.) to the UK’s GDP.

Calling the Scottish industry “at a crossroads,” TIGA said that if Games Tax Relief was introduced, the industry could expect to grow, but if the UK government “sat on its hands and did nothing,” declines would continue.

UK game industry group TIGA is continuing its full court press for the introduction of Games Tax Relief and other measures that would assist game developers in the region.

This time around TIGA used comments put forth by Jeremy Hunt, Secretary of State for Culture, Media and Sport to once again push its initiatives. Hunt called for the UK to become a “digital superpower by 2015,” while noting that the UK was “probably the second best country in the world in the creation of digital content.”

TIGA chief Dr. Richard Wilson answered Hunt’s call, stating, “The UK creative industries have great potential. However, we cannot will the end without the means. Many other countries have high hopes for the economic potential of their own creative industries and are investing significant sums in them. The UK cannot be a digital superpower on the cheap.”

Wilson continued:

Calling it “terrible news,” UK game industry group TIGA has reacted to word that  Scottish developer Realtime Worlds is going into administration with a call for action directed at the "Scottish videogames industry in particular and the UK games sector in general.”

TIGA CEO Dr. Richard Wilson called for Games Tax Relief to be introduced at the “earliest opportunity,” the beefing up of R&D tax credits and the formation of business incubators which could assist with the formation of a “new wave” of videogame development firms.

Wilson also stated that games clusters “should be consciously supported” and that higher education should be adequately funded with a renewed focus on STEM subjects.

While we’ve been using data from the Entertainment Software Association of Canada to crown our neighbors to the north as the world’s third-largest home to videogame development for a few months, trade association TIGA seems to have just recognized that claim as official, and used it to lash out at UK politicians.

TIGA said that UK politicians have been “asleep at the wheel” while Canada, and other countries, cherry pick UK talent with incentives. TIGA Chief Dr. Richard Wilson said that there was “nothing inevitable about this process,” and added:

Following a “comprehensive” survey of 78 UK-based game developers, industry group TIGA is meting out statistics that paint a picture of the industry in broad brushstrokes.

The average size of a publisher-owned studio, according to the State of the UK Video Games Development Sector report, was 245 people, versus 45 for the average indie developer and 51 people for the indie developer who also publishes their own titles.

88 percent of all workers in the industry were male, while 12 percent were non-UK citizens.

The average game development house has been in business for seven years.

On average, developers spent £570,800 (approximately $910,000 U.S.) to develop a game, though there was great disparity between averages for indie developers, who spent £897,700 (approximately $1.431 million U.S.) per game, publisher owned studios, which spent £3,000,000 (approximately $4.782 million U.S.) and indie developers who also publish, which spent £133,700 (approximately $213,093 U.S.) per game.

The CBI, a self-proclaimed advocate of and lobbying organization for UK creative industries, has issued a manifesto which serves up detailed recommendations on how to stimulate expansion within that sector.

Entitled Creating Growth: A Blueprint for the Creative Industries (PDF), the document puts the onus on elected officlas, stating that “The government should develop a strategy to deliver the right business environment.”

Among its suggestions, the CBI wrote that the government must:

Danielle Parr, the executive director of the Entertainment Software Association of Canada says that his country's game industry and government can do anything they want to entice game developers to the great white north because "all's fair in love and war." While UK developers and government officials have been vocal about Canada's mission to "steal" developers from the region and bring them home, Parr, like a Jerry Springer guest, has no problem enticing talent to another bedroom.

While at Develop last week, Parr told BBC's Politics Show with a smile and a laugh that she sees no problem with it:

During the Women in Games track of the Develop conference in Brighton this week the UK government voiced its concerns about the hiring practices of games industry when it comes to women. Speaking of inequality in hiring practices, Lynne Featherstone MP, Minister for Equalities, expressed concern that the UK industry hurts itself by not tapping into the pool of talent based on gender.

In the letter the Minister highlighted the importance of seeking a "greater gender balance in the workplace," and warns that some companies "risk being uncompetitive" if they fail to address the problem.

Gathering up the strength to appear at the UK’s Develop Conference despite the government removing game industry tax incentives from its emergency budget, Shadow Minister for Culture Ed Vaizey walked a fine line—claiming that he championed the games biz, yet endorsing George Osborne’s plan to focus on the greater and more immediate financial needs of the UK.

In recounting a question to Vaizey about Games Tax Relief being offered in the future, the Guardian wrote that Vaizey was “non-committal, but offered a glimmer of hope." The MP stated, “I can't emphasise enough that I'm not the chancellor; it's just that in my view the treasury is always open to rational argument.”

UK game industry group TIGA was more than happy to share research which indicated that children who play sports-themed videogames were likely to participate in real sporting activities as well.

French business school ESSEC had students in its International Sports Marketing Chair conduct the study and found that 38 percent of boys, under the age of 21, who played sport videogames practiced their favorite virtual sport in real life. Additionally, the study claimed that 75 percent of gamers (presumably from the same age group) actively took part in some kind of real sport.

“Video games are frequently demonized,” said ESSEC’s Thierry Lardinoit adding, “We now know that these fears are unfounded.”

Lardinoit continued, “There is a strong correlation between playing video games and participating in real sports. Watching television is a threat to physical activity.  Video games are not, however.”

At least a few UK publishers may be concerned that any tax incentives invoked for developers could have a trickle down effect and cause problems in other areas of their business.

Develop details the feared repercussions, one of which centers around the “cultural” elements of tax breaks, which could lead to games being classified as audiovisual products—instead of software—possibly leading to a rise in taxes placed on the goods and higher prices for the end user.

The article calls such concerns “routinely rubbished,” but says that, despite that, such worries remain “prevalent across certain industry groups, bodies and companies.”

The apprehension goes back to a 2008 tax relief proposed in France, which was openly opposed by the Interactive Software Federation of Europe (ISFE) over fears of a reclassification of games as AV products.

As Develop further explained:

Videogame industry group TIGA was the recipient of a pair of awards at the UK’s annual Trade Association Forum Best Practice Awards.

TIGA grabbed the prestigious Trade Association of the Year 2010 in addition to the Member Recruitment Award. The group was also a finalist in three additional categories—Sector Representation Award, Website of the Year Award and Annual Report of the Year.

TIGA head Richard Wilson stated, “We are absolutely delighted by these awards and commendation. It is a huge honour to be awarded Trade Association of the Year and something we have worked very hard to achieve.”

Wilson also thanked the TIGA team, specifically Lorna Evans, Nisha Valand, Eva Field, Vanessa Joyce and Suzi Stephenson, for “all their hard work and dedication.”

While hopes for UK tax breaks for game developers may be fading, industry groups and developers aren’t giving up without a fight.

Trade association TIGA, along with representatives from Activision, recently met with MP’s Don Foster, Jim McGovern and Stewart Hosie to continue their full court press for tax relief. It’s been speculated that tax relief for makers of interactive entertainment may have to take a back seat to more important measures needed to prop up Britain’s floundering economy.

TIGA Chief Richard Wilson stated:

Waterfront Entertainment, a company that specializes in developing games for interactive TV platforms in the UK, has joined TIGA, the trade association representing the game industry in the United Kingdom. Founded in 2004 as a publishing arm of Dundee based developer Denki, Waterfront creates interactive games for TV networks.

To date the company has developed Ben 10: Operation D’Void (Sky), Sam’s Remote (iPhone) and Bookworm (DirecTV). The company also develops iPhone and Flash games. So why join TIGA? Here's the official company line:

"Our sister company Denki has long been an active supporter of TIGA and we enthusiastically believe in the benefit of being part of a strong UK trade body that can advocate on behalf of its members. We are also interested in TIGA’s work to promote the UK games industry to other creative sectors through the Creative Industry Switch program and we hope this will result in more connections and growth for our industry."

Waterfront joins Iguana Entertainment, who joined the trade group on June 3.

Member of Scottish Parliament (MSP) Joe FitzPatrick (pictured) is continuing to lobby the UK government for Games Tax Relief.

FitzPatrick, who represents Dundee West, and has been vocal in his support of the games business in the past, sent letters to three new members of the Liberal Democrat & Conservative Cabinet—George Osborne, Chancellor of the Exchequer, Vince Cable, Secretary of State for Business, Innovation and Skills, and Jeremy Hunt, Secretary of State for Culture, Media and Sport—asking them to work in conjunction with games industry group TIGA to enable tax breaks for UK developers.

The MSP noted that “any tax relief granted would be extremely small in comparison to the return on the investment, and would be a big step in the recovery of our economy.”

UK game industry group TIGA believes that a soon-to-be-enacted tax break in Florida for game developers raises the impetus for a similar measure in the United Kingdom.

The group stated that the Florida legislation “confirmed the imperative” for competing legislation across the pond, with TIGA chief Richard Wilson stating, “The UK games industry wants to compete on a level playing field with games businesses elsewhere in the world.”

Wilson added, “Until we have TIGA’s Games Tax Relief implemented in the UK our video games industry will be at a serious competitive disadvantage.”

Florida’s plan would boost tax incentives to 20.0 percent of a qualifying production’s total budget.