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Bafta Games Awards spotlight UK and global achievements
The Bafta Games Awards will honor video game developers worldwide tonight, with British studios and international hits vying for top honors. French role-playing game Clair Obscur: Expedition 33, developed by Sandfall Interactive, leads this year's nominations with 12 categories, reflecting its critical acclaim and recognition from French President Emmanuel Macron and the country's Ministry of Culture.
UK games industry's economic impact grows despite challenges
Britain's video game sector contributed £8.76 billion to the economy in 2025, a 7.4% increase from the previous year, according to industry body UK Interactive Entertainment (UKIE). The growth comes as the global industry faces significant turbulence, including mass layoffs and studio closures, driven by shifting investor priorities and heightened competition for consumer attention.
Alanah Pearce, a video game writer and journalist, described the current climate as "frustrating." While the industry remains profitable, she noted that investors have increasingly redirected funds toward artificial intelligence, leaving game developers struggling to secure backing for projects that aren't guaranteed commercial successes. "How do you even guarantee profit in this day and age?" Pearce asked.
Government announces £28.5m fund to bolster UK studios
In response to industry pressures, the UK government unveiled details of a £28.5 million fund this week as part of the London Games Festival. The initiative, part of the broader Creative Industries Sector Plan, will offer grants ranging from £20,000 for startups to £250,000 for expanding studios. The plan also includes £75 million for TV and film productions and £30 million for emerging UK music artists.
Creative Industries Minister Ian Murray acknowledged that the economic value of video games had been "overlooked" for too long, stating the government's commitment to supporting the sector. Adam Riches, a developer at indie studio Robust Games, called the funding "good news" for smaller companies like his, which released the award-nominated murder mystery game Loco Motive.
"As indie developers, we're used to working with smaller budgets, so the newly proposed grants look really generous from our perspective. This feels like a good fit for our team, so we'll definitely be looking into the finer details."
Adam Riches, Robust Games
Industry experts weigh in on funding and future prospects
Christopher Dring, editor of The Game Business, praised the government's funding announcement as a "strong statement" of support but noted it still fell short of the backing provided to other creative industries. He highlighted that many major UK-developed games, such as Grand Theft Auto and Tomb Raider, are owned by global corporations like Microsoft, emphasizing the need for more homegrown intellectual property to thrive internationally.
Despite challenges, the UK is home to smaller studios that have achieved both critical and commercial success. Two Point Studios, founded in 2016 by veterans of UK studios Bullfrog and Lionhead, has carved out a niche with its comedic simulation games, including Two Point Hospital and Two Point Museum. The latter earned nominations in the British Game and Family Game categories at this year's Baftas.
"We haven't tried to blow the company up because we've had some successes. We've kind of wanted to stay a very bijou, boutique studio. We're not too big; we're quite keen to stay a sensible size where everyone can feel like they're involved."
Gary Carr, Two Point Studios
Resilience and collaboration define UK's gaming hubs
Two Point Studios, based in Farnham, Surrey, is part of Guildford's thriving game development community, which hosts multiple studios. Design director Ben Huskins described the industry as supportive, with developers often collaborating after working together earlier in their careers. "We all have worked together at some point in our careers, so we look after each other and we look out for each other," he said.
Huskins also noted that game development has become more accessible, fostering competition but also enabling the creation of "amazing games." Gary Carr echoed the sentiment, stressing the importance of sustained support for the industry, particularly during downturns. "I definitely don't like to see game studios struggle when we are such an important part of what Britain does well," he said.