The ongoing debate about video game development tax breaks in the UK continues as politicians and TIGA weigh in.

Back in June the new Chancellor George Osborne announced that the planned tax breaks for the video game industry will not be going ahead, claiming that they were "poorly targeted". Several weeks later TIGA, the trade association representing the UK games industry, criticised the decision.

TIGA have once again spoken about the situation and claimed that the government's position is becoming increasingly threadbare. Responding to comments made by Edward Troup, Managing Director, Budget, Tax and Welfare, HM Treasury, and Ed Vaizey MP, Minister for Culture, Communications and Creative Industries recently the treasurer of TIGA has stated that he does not believe that the tax breaks are poorly targeted.

“I am not sure I would say it was poorly targeted. It was targeted at the video games industry...I think it was perfectly designable if we had continued with it...I don’t want to overstate the problems because I am quite confident the Treasury and my colleagues in Revenue and Customs would, if given the chance and given the remit, be able to write a set of rules, as they have for the film industry, which define the relief. So I am sure we could do it.”

When Ed Vaizey responded he claimed that the tax breaks may not necessarily help UK-based developers and may, in fact, just benefit foreign companies. TIGA quickly responded that in order to qualify for a tax break the company must be UK-based, have a budget of at least �100,000 and pass a cultural test that would benefit from Games Tax Relief.

In his response to these comments Ed Vaizey then stated that it could still happen one day, but not for a number of years. As TIGA continue to try and convince the government about the benefits of a tax break the Shadow Minister for International Development Gareth Thomas has also commented on the issue.

Gareth Thomas has stated that he feels the coalition government are putting jobs at risk. Talking on the BBC Politics Show, and reported on CVG, he mentioned how RealTime Worlds, who were responsible for the first Crackdown game on Xbox 360 and based in Scotland, have recently gone out of business. However, he did note that before any investment is made the government "need[s] to make sure the infrastructure is strong"."

Mr. Thomas also suggested that there has been a "whole series of British jobs created by the games industry in the UK", but without the tax break it is unclear if the jobs that were created can now be maintained.

It would appear that we are no closer to a solution or agreement from all sides about the best way to ensure the growth of the UK industry in times of economic uncertainty. However, it is encouraging that at least the issue is still being discussed and campaigned for.