New Government Funding Could Take The Gaming Industry To Insane New Levels

Last month, TIGA (the trade association representing the UK’s games industry) secured huge tax breaks for UK gaming companies, and now it’s at it again. This time, TIGA is seeking more than tax relief. The group aims to secure £3m annually from National Lottery funding.

TIGA announced recently that its new goal is to persuade the UK government to establish a Creative Content Fund. The fund would allow up to 20 loans to be given annually to game development studios, especially smaller studios and start-ups. These loans would then be paid back from sales after the games launch.

Developers are often faced with the problem of getting a game prototype backed financially. Once there is a working prototype, finding funding for the project’s completion is much easier. A whopping 100 per cent of TIGA members used third party funding in the past year to help their games come to life. Without the help, most studios admit their game would not have been possible. This year, 76 per cent of members already plan to take advantage of the new tax breaks, but more financial backing is always welcome.

This push by TIGA is highly supported by more than 600 gaming studios located in the UK. Currently, studios find funding through private investors, artist associations or companies like Creative England that aim to grow the film and gaming industries through financial aid and services. With such a large number of studios, and dozens more opening each year, there is simply not enough money for everyone. TIGA knows this is a problem, and wants the government’s help in keeping the UK game industry safe as the world’s leader in development and production.

The proposal calls for the National Lottery to contribute to the Creative Content Fund, as it already supports other art forms. About £26m per year is already allotted for film production, which is a monster of a sum compared to the mere £3 million proposed for gaming purposes.

TIGA CEO Dr Richard Wilson explains that 29 per cent of UK gaming companies that were in existence in the last five years have shut down, mostly due to lack of funding. Despite this fact, 44 per cent of the country’s gaming companies that exist today are start-ups that were established within the past two years. By supporting the little guy, Dr Wilson says the industry as a whole will move toward more creative and original ideas generating money that will have a beneficial impact on the country’s economy.

Visit the TIGA website to find out more about how it represents the gaming industry and read the lastest news in the fight to get funding.