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Video Game Technology Spillover Contributed £1.3 Billion To UK Economy In 2021

New report from Ukie and FTI Consulting finds game tech used in film, TV, healthcare and automotive sectors contributed £760 million to GDP

Image source: UKIE

Not-for-profit trade body Ukie and FTI Consulting have released a new report that places a numerical value on the use and economic contribution of video game technology in sectors beyond the gaming industry with a GVA (Gross Value Added) of £6 billion. 

The report titled, The Economic Impacts of Video Game Technology Spillover characterises ‘spillover’ technology as situations in which unrelated sectors have incorporated and utilised innovations from game developers to enhance their products and optimize their business operations. 

Highlights include nearly 10,000 jobs, contributing £760 million to Gross Domestic Product (GDP), and generating £380 million in labour income. This activity results in £250 million in government revenues, with the total output from this spillover technology amounting to £1.3 billion, which is on par with the UK timber and forestry industry or even the aluminium industry. 

Source: Ukie

Driver of significant value 

Dan Wood, co-CEO of Ukie says, “These report findings demonstrate the part video game technology has played in many ground-breaking technological innovations outside of the games sector. From increasing innovation, improving product designs, to enhancing consumers’ experiences, video games technology is driving technological development across different sectors. This report provides the strongest evidence yet, that the video games industry is a driver of significant value across the UK economy.” 

Industries that experienced the most significant spillover effects from game technology in the UK comprised information technology, energy extraction, and business services. However, sectors like healthcare, television, and film observed a noteworthy impact, benefiting from video game technology’s introduction of numerous innovations. 

Source: Ukie

Impact on various industries 

The healthcare industry widely employs game engines to enhance patient care, positioning itself among the top three sectors that are expected to spearhead VR adoption until 2025. Medical practitioners and surgeons leverage game engine-enabled tools like Precision OS, to learn and practice immersive VR simulations. This approach enhances virtual surgery training by delivering real-time sensory feedback. 

Minister of state for department for science, innovation and technology, and minister of state for department for culture, media and sport Sir John Whittingdale said, “From cutting edge visual effects in films to transforming training for doctors, the influence and impact of gaming technology extends right across the economy. We’re backing rising star developers through the UK Games Fund and supporting games businesses with generous tax reliefs to maximise the potential of our thriving creative industries, so that innovative technology continues to benefit our economy and society.” 

Source: Ukie

The automotive industry has also demonstrated an interest in game engine technology, especially as vehicles become more reliant on software and technology. Commercial game engines like Unreal and Unity provide compelling solutions for automotive applications due to their visualisation capabilities, contributing to the expansion of simulation and testing capabilities in the industry.

You can download the full report here

Written By

Isa Muhammad is a writer and video game journalist covering many aspects of entertainment media including the film industry. He's steadily writing his way to the sharp end of journalism and enjoys staying informed. If he's not reading, playing video games or catching up on his favourite TV series, then he's probably writing about them.

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