Report: UK Developer Tax Cut Sabotaged by Major Publisher

[John Funk]

Report: UK Developer Tax Cut Sabotaged by Major Publisher

Earlier this week, long-hoped-for plans to give tax breaks to the the UK game development industry were suddenly nixed - and some developers are saying that a major global publisher was to blame.

Game developers in the UK have been trying to get business tax cuts for the local industry in order to bring it more in line with other places like Montreal for said that the deal was now off the table [http://www.escapistmagazine.com/news/view/89862-85-of-UK-Developers-Want-Tax-Breaks].

Now, Develop Online [http://www.develop-online.net/news/35224/Global-publisher-sabotaged-UK-games-tax-breaks] claims that according to inside sources, the changing of the guard was not the only reason that the tax break plan was kiboshed: The efforts were sabotaged by "[one] of the biggest game companies in the world."

The unnamed publisher, alleges Develop, put pressure on the UK government and British trade associations to abandon tax cut proposals, seeing the plans as "a measure that would have given the UK an unfair advantage over other nations."

While Develop staff members insist that the information comes from "multiple, very trusted sources," everybody should remember to take claims and rumors lacking solid evidence with whole mountains of salt. Still, if this is even remotely true, the implications are potentially staggering. There are already quite a few regions that have game developer tax breaks already - what publishers would risk antagonizing an entire development region like that?

I know the instinct of many gamers is going to be to stand up and point the finger at Activision/EA/Ubisoft/Hated Publisher Of Choice, but these are serious allegations, and not to be made lightly.

Hopefully, we'll be able to learn more.

(Develop Online [http://www.develop-online.net/news/35224/Global-publisher-sabotaged-UK-games-tax-breaks])

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[Jackalb]

I think we need to rise to arms at this point.

 

[Jared]

It still really sucks it didnt happen...it could have make the industry flourish so much more in the UK!

 

[Nimbus]

If this is true, said publisher is getting a boycott the size of the titanic shoved up their tailpipes.

 

[Crunchy English]

Hmm... that IS odd. Sure, we all want to blame "X" but how can we find out? After all, nothing is secret on the internet. Surely one of our Englishmen allies from here on the Escapist has some connections they can go digging with? Links with local developers who are complaining or perhaps at the Parliament? I'm not sure how it works in the U.K. but here in Canada nearly everyone know their provincial Member of Parliament on a first name basis, and federal MPs are hardly more difficult to contact.

Anyone volunteer?

Meantime, let's start a pool. I've got 10 "Escapist Dollars" (A currency I may or may not have invented) that says it was Nintendo. They have very little European preference and their worries have been focused on the global economy lately.

 

[Irridium]

I really, really hope this isn't true.

 

[Sparrow]

I think we need to rise to arms at this point.

Let's ask America for some weapons. FEEL THE RAGE OF ENGLAND!

Ahem-- I mean, erm. That totally sucks.

 

[Baron Khaine]

I'm betting it was Activision.

Why?

Bobby Kotick is fucking evil.

 

[TraderJimmy]

Bullcrap. The Lib-Cons gain no popularity for lowering game developer taxes, and they're trying to raise taxes/lower spending at the moment to repay the deficit. Blame Activision all you want, simple truth is there're new players in town.

Doesn't really fit with the supposed Conservative ideal of using your own initiative, making your own business, Big Society etc. Who embodies that ideal more than game devs? But then again, when did parties ever actually stick to their principles once in power?

EDIT: I also LOVE the argument a Major Publisher (Omg) supposedly used; it would give the UK industry an unfair advantage. Think for a second. Can you see that argument flying in America?

Sorry, we can't keep taxes on business low. Why? It gives America an unfair edge on the rest of the world. We know this because Richard Branson told us. Why no, I don't believe he has a special interest here.

This rumour sounds...just ridiculous.

 

[aaronmcc]

I know the instinct of many gamers is going to be to stand up and point the finger at Activision/EA/Ubisoft/Hated Publisher Of Choice...

Nah, just pointing my finger at Activision and their high class hookers.

 

[Outlaw Torn]

My vote is with Activision too, because they are twats and probably want the money all for themselves.

 

[Hippobatman]

Hmm, "unfair advantage over other nations"?


Say that the UK got this advantage. It would boost the UK industry, thus increase the probability for good games to be published internationally. I can't see why anyone should be denied to make good games, as it would only help the gaming industry as a whole.

I'm taking the rumour with a sack of salt, though, don't worry. I really hope publishers still focus on making great games, rather than doing it just for the money.

 

[Lord Mountbatten Reborn]

I'm betting it was Activision.

Why?

Bobby Kotick is fucking evil.

They planned to up the prices for the UK too on Modern Warfare 2, if I remember correctly.

 

[Simalacrum]

I dunno... to be fair, the new government has been making cuts nearly everywhere, so having tax cuts off the table for gaming companies seems like something that would cause controversy among the masses if it did go ahead...

I think its just another part of Britain trying to save as much money for a problem that was never our fault =\

 

[Enigmers]

Something sinister is at work here.

 

[Baron Khaine]

I'm betting it was Activision.

Why?

Bobby Kotick is fucking evil.

They planned to up the prices for the UK too on Modern Warfare 2, if I remember correctly.

I thought they went through with it?

I never thought to check since I bought it off steam like 2 months after it first came out.

 

[Loonerinoes]

The fact that they did not bother to name the developer tends to lend a bit of credibility to their statement really. Having said that, the reason why the developer was not named was basically because they indeed do not have hard proof on hand of it being true.

But it would not surprise me in even the slightest if it *did* turn out to be true. As for who it might be, it really is pointless to speculate at this time.

 

[More Fun To Compute]

Is it Ubisoft who have the most invested in Montreal? They also have a lot of people just over the channel in France. Hmm.

EA, Microsoft, Take 2 and Sony all have major studios in the UK so might benefit from a tax cut. Not sure about Activision.

 

[Searlero]

The fact that the cut was abandon was that the treasury has a total of 58p, a couple of beads and 23 Drachma.

 

[Kevlar Eater]

Of course, if it was a publisher tax cut, no doubt they'd keep their mouths shut and threaten the developers they have leashed to submission.