MCV/DEVELOP News, events, research and jobs from the games industry
Green Man Gaming, the world’s fastest-growing social commerce platform for video gamers, is sounding the alarm for the UK gaming industry. The proposed departure of Keyword Studios from the London Stock Exchange’s AIM market to new foreign owners, and the decision by PlayStation to axe 900 jobs and close its London studio, are part of a wider worrying trend in the country’s gaming industry. The government, regardless of the party who will lead it, must stop matters from getting worse.
Paul Sulyok, Founder and CEO of Green Man Gaming says: “Gaming is one of the UK’s biggest economic success stories. It is our second-most lucrative entertainment sector; with digital game revenues in the UK reaching US$ 8.16 billion in 2022 (Statista). However, the sector is not being adequately supported. The UK risks losing ground to countries that work harder to support domestic gaming industries and to attract top talent, such as Canada. This could spell disaster for our domestic industry.”
“The UK is simply not properly acknowledging its brilliant and lucrative gaming sector. It is something that we already excel at. We do not have to build this industry: it already exists and must simply be supported so that it can continue to thrive.”
Sulyok adds: “With the election ahead of us, we are delighted that all the major parties recognise the contributions of the gaming industry. For instance, in its Plan for the Arts, Culture, and Creative Industries (Labour), the Labour Party expresses the commendable desire for “British gaming – and all the creative industries – to enjoy a decade of national renewal and growth”. The Plan also focuses on grants and mentions “commercial finance providers” in passing.
“However, this does not go far enough. We will need strong and decisive action to ensure that our leading position on the global stage is maintained. The UK gaming industry is not asking for a handout. We must fix the funding model, which has broken down. Far too much money saved in UK pension funds is going abroad – instead of backing our world-leading creative entrepreneurs.
Sulyok concludes: “Despite this country’s enormous gaming talent – in storytelling and computer engineering – with hundreds of excellent studios dotted around the country, the growing problem in the UK is a lack of liquidity, and the necessary muscle in our financial sector to allow gaming businesses to thrive. UK gaming businesses which are looking for growth may soon find themselves attracted en masse to US capital markets. If we are not careful, we will not only bleed gaming talent to North America, but gaming companies too.”
