The industry body representing the UK games industry has called for the Government to create a fund to help small developers improve their access to finance.
Responding to the Government’s business productivity review, TIGA argued a Games Investment Fund (GIF) would allow small firms to thrive and invest in measures that would help them become more productive and competitive.
TIGA suggested the fund would make grants or between £75,000 and £100,000 and soft loans above £100,000 would be matched pound for pound to ensure that games companies can find new investment from other sources.
According to TIGA’s research, the GIF would create jobs as well as provide a healthy return on investment.
TIGA chief executive Richard Wilson said: “TIGA’s plan for a GIF would be an important step for the video games industry, helping small firms crack a tough global market and export their games around the world.
“It would improve developers’ access to finance, encourage new intellectual property, and strengthen the resilience of the UK video games industry.
“Importantly, the GIF would enhance productivity growth in the sector by catalysing investment in capital, skills and innovation.
“We look forward to continuing our work with policymakers to make sure that the GIF becomes a reality.”
TIGA’s research claimed a fund could increase headcount by nearly 1,600 staff and create 3,000 indirect jobs.
The trade association claimed it would encourage games companies to invest an additional £231 million in development expenditure, increase GDP by £514m and contribute an additional £210m in tax revenues over five years.
In its response, TIGA also highlighted the need to offer training and advice to entrepreneurs so that they can make the best possible investment decisions.