Economic Impact Assessment of the UK Video Games Industry

Alan Leonard, Homagni Choudhury, Joe Cox

Research output: Book/ReportCommissioned report

Abstract

The UK video games industry is one of our country’s most dynamic, innovative and high-growth sectors. It represents a unique fusion of creativity, technology, and entrepreneurship – generating over £12 billion in Gross Value Added annually, supporting more than 73,000 jobs and delivering significant returns to the Exchequer.

At Rebellion, we have witnessed first-hand the extraordinary talent and potential that exists within our game development ecosystem. From globally acclaimed AAA titles to boundary-pushing indie games, the UK is home to world-class studios, vibrant clusters, and an incredible pool of skilled professionals.

Yet, despite our successes, the industry is facing strong economic headwinds – with rising development costs, greater global competition and funding uncertainty posing new challenges for studios of all sizes. That is why this report is so timely and important.

Commissioned by TIGA and independently conducted by the University of Portsmouth, this rigorous Economic Impact Assessment not only demonstrates the sector’s substantial contribution to the UK economy, but also provides a clear, evidence-based case for enhancing government support.

Most notably, the report assesses the impact of TIGA’s policy proposals to improve the Video Games Expenditure Credit (VGEC) and introduces the idea of an Independent Games Tax Credit (IGTC) – a targeted intervention that could particularly benefit smaller and mid-sized studios.

The findings are compelling: all three of TIGA’s proposed enhancements to VGEC deliver positive returns on investment – stimulating further development activity, employment, and tax revenues. These proposals offer an opportunity to strengthen our competitive edge, support high-skill job creation, and bolster an industry that continues to fly the flag for Britain on the global stage.
Original languageEnglish
PublisherTIGA
Commissioning bodyTIGA
Number of pages112
Publication statusPublished - 1 Sept 2025

Keywords

  • Economic Impact Assessment
  • Video Games
  • VGEC (Video Games Expenditure Credit)

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