UK Video Game Tax Breaks Hailed Though Details Scarce

Game relief could follow the UK film industry model.

Posted by Staff
The UK Budget for the year has been disclosed by Chancellor Alistair Darling, and with it comes a welcome tax break for domestically-developed computer games. Among other things, the lure of such relief could bring Rockstar to set the next Grand Theft Auto closer to home.

Details on the exact nature of the system have yet to be outlined, but the proposal set out by the Department for Culture, Media and Sport is said to be similar to that of the film industry. Under that initiative, film productions get relief of around 16 per cent of the total production budget - providing they pass a 'culturally British' test.

A film has to score 16 out of a possible 31 points in a test which takes four factors of 'Britishness' into account, all with differing levels of importance. Just being a UK studio won't net enough kudos to earn a weighty tax break - the film's cultural content (set in the UK, British characters and subject matter, British language) carries the most potential with 16 points up for grabs.

Other things considered are Cultural Contribution (4 points; whether the film represents a diverse British culture, heritage or creativity) and Cultural Practitioners (8 points; the origin of the cast, crew and producers).

A tax relief system that follows this structure could both be a huge benefit to UK game developers and help see more games set in Britain. With GTA IV reportedly costing around $100m to make, a sequel set in Clacton or Bognor Regis would net a cool potential saving of around £10.7m if the proposals were to follow the 16 per cent film model.

Would you want to see another British Grand Theft Auto, SPOnG readers? What kind of stereotype do you think would be great for the lead protagonist role? Let us know in the comments area below.
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Comments

Tone 25 Mar 2010 12:55
1/1
another british GTA, well they would definitly need people like michael caine or vinnie jones; that would score them the points however i doubt michael would do it, but maybe vinnie. Meh get a Rover P6 / SD1 in it and it will do as well, however you would have to go to china or india (dunno know if its Tata or bejieng motor corporation that own it now) to get the rights me thinks. this could go horribly wrong xD
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