In the context of an official statement as interested party the European Games Developer Federation has given insights as to why they believe that the introduction of a support system similar to what already exists in Canada or France is culturally and economically necessary.
Member organizations within the EGDF, including the Finnish games producers’ association, the Spanish games producers’ association, the German association and the French association, have shown solidarity with TIGA and the UK Government and submitted statements supportive of the proposed Games Tax Relief.
In particular, EDGF member organisations do not believe that the introduction of Games Tax Relief in the UK will distort the EU market. The European game development sector competes mainly on a global level with other game developers worldwide. The introduction of a video game tax Relief for France in 2008 did not distort the EU market, nor did it have an impact on the other national EU markets. The same is expected with the UK Games Tax Relief.
The Chairman of the European Games Developer Federation, Guillaume de Fondaumière said: “The United Kingdom has historically been Europe’s stronghold when it comes to video games development. For several years now, however, we have witnessed an alarming brain drain and entire studios closing down as global investment has been diverted to other countries, especially in North America, which offer tax incentives. This in turn has reduced the UK’s capacity to develop culturally British video games.
“The UK’s Games Tax Relief scheme is really about saving this stronghold on a European scale by encouraging developers and publishers to produce innovative and culturally British titles. We strongly support the measure and hope it will be retroactive from April 1st2013 onwards. Europe needs this impetus, and we need it this year.”
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The European Games Developer Federation is committed to the stimulation and development of a stable, vibrant and creative European games development sector that is competitive globally and recognized culturally. The EGDF will act to advance the political and economic interests of the European computer and video games industry by providing a platform for collaboration and discussion between European institutions and game developers.
The federation represents some 600 studios based in Austria, Denmark, Finland, France, Germany, Italy, Norway, Spain, and the United Kingdom, which together employ about 17,000 people. The European computer and video games industry, including distributors and students in game educations, encompasses almost 100,000 individuals.