Impact of the UK Government's Industrial Strategy and Immigration White Paper on the Games Industry

Laurence Keir-Thomas, director at Fragomen, provides insights into the proposed changes to UK immigration law and their implications for the UK games industry. The UK's Modern Industrial Strategy and the immigration white paper reveal a significant shift in immigration policy, treating it as a key component of economic growth and industrial policy. While this shift holds promise, its immediate application raises concerns, particularly for the games industry, which relies heavily on international talent. The UK Government's Creative Industries Sector Plan positions the games industry as a key pillar of the UK's growth strategy, including a £30 million Games Growth Package and an industry-led Games Skills Strategy. However, the immigration white paper introduces measures to restrict the Skilled Worker visa route, which may hit the games sector hard. The salary thresholds for employers sponsoring workers under the Skilled Worker route will rise significantly, affecting some of the most commonly sponsored roles in the games industry. This creates a material cost increase for employers, especially smaller or independent studios. The industry's current turbulence, including high-profile layoffs and forecasts showing a sharp drop in spending on games, compounds this challenge. To address these changes, studios are advised to be proactive, reassessing hiring budgets, evaluating future skills needs, and engaging with the government to shape the immigration framework. The integration of immigration into industrial strategy represents a significant shift, but for the games industry, it is a double-edged sword, offering promise in the long term while posing challenges in the short term.