Dundee West MP Jim McGovern says the Scottish affairs select committee has been left in “no doubt” that the UK’s economy would be hugely boosted if tax incentives were given to the video games industry.
The committee is examining the potential impact of Chancellor George Osborne’s announcement to abolish tax relief for games companies on the Scottish sector.
It will also examine alternative financial incentives for the industry.
Included in the industry and academic representatives giving evidence to the committee on Wednesday was Abertay University’s director of business development, Paul Durrant.
Mr McGovern said, “Today’s evidence session was very productive. The committee were left in no doubt about the massive benefits that a tax incentive would bring for the computer games industry, the UK economy and for Dundee.
“I think it was also made clear, by TIGA that commitments had been made by the Liberal Democrats and the Conservatives before the election supporting this tax break commitments that were then abandoned without explanation and without consultation.”
Others giving evidence were Dr Richard Wilson, chief executive of TIGA, and Michael Rawlinson, director general of UK Interactive Entertainment.
Mr McGovern blasted the coalition UK Government for reversing the previous Labour administration’s decision to provide tax incentives for games companies staying in Britain.
During a visit to Dundee last week, Scottish Secretary Michael Moore paid tribute to Dundee’s “world-leading” games but insisted there could be no special treatment for software developers, impressive though their technology may be.
Photo used under a Creative Commons licence courtesy of Flickr user Ciaran McGuiggan.To watch the committee meeting, visit the UK Parliament website.