The games industry in England certainly has seen better times, but an article over at ft.com reports that Britain's once mighty games industry has slowly been dwindling over the years, and now faces stiff competition from other countries in investment and retaining talent. The Financial Times states that England had an estimated 400 independent studios in 2001, with that number drastically shrinking to 150 of late. Further exasperating the problem are reports that companies, like locally based publisher SCi Entertainment, are looking to expand their operations elsewhere to countries like China. Other countries, such as Canada and Australia, are cited for their efforts in attracting creative talent and Government support for studios, something which is needed for the local UK games industry...
Ms Cavanagh said the UK should consider giving tax breaks to games companies, as it does to the film industry. UK Trade and Investment, the government body responsible for helping businesses locate in the UK, is understood to be examining the issue, with a report due before the summer.