project gotham screen grabThe video game world was hit with the news last night that Bizarre Creations, a Liverpool based development studio was facing closure. Responsible for such games as the Project Gotham Racing franchise, and the popular Geometry Wars series, it led to their acquisition by Activision in 2007.

This was a move many thought would elevate Bizarre even further. However, titles under the new partnership failed to sparkle. Blur (not the band) received the reviews but not the sales. The poor reception was attributed to rival titles ModNation Racers and Split Second being released around the same time. More recently 007: Bloodstone a James Bond title with a unique storyline (ie. it wasn’t a film ported to a console), did little to impress critics and consumers and thus didn’t set the tills ringing as much as Activision would of liked.

Which brings us to the announcement made last night. Activision stated that it was considering both the closure or sale of the studio. Many websites were speculating on if the deed of shutting up shop had already been done as no one was available for comment from Bizarre. This is not the case. Activision are indeed looking to sell the studio, however they have taken precautionary measures and given every employee three months notice.

Merry Christmas.

This potential (although most consider it probable) closure couldn’t come at a worse time. With job losses hitting all sectors up and down the country as the coalition continues to steamroll it’s way through deficit reduction, a closure of a British based games studio is big news for the industry. In the last two years alone the number of UK studios has declined by around 9%. Why? Uncompetitive tax regimes. Tax breaks for game developers was considered prior to the election, championed by Labour, considered by Lib Dems, thrown out by the coalition. To quote good old Gideon, tax breaks for developers was ‘poorly targeted’.

The games industry is rapidly growing, yet in the UK the workforce is in a major decline. What used to be the third largest country for game development has in recent years seen a slip down the rankings as skilled staff head for pastures new (namely Canada and Korea) for much more favourable tax benefits. And who can blame them with such a poor level of support from the government?

With such a loss in studios, it makes competition for vacancies in those that remain fierce. In the North West that competition is amplified to a much higher degree. The talent is here in abundance, but the jobs simply aren’t.

And it’ll only get worse.

So, if this is the death knell for Bizarre Studios, then it is a bitter blow for the region, a kick to the nether regions for the UK games industry, and evidence to suggest Gideon’s revoking of tax incentives for developers was very poorly targeted.

  • Jonny

    Can’t begin to tell you what’s wrong with this

  • Dan

    Missed out on a great ‘Game over?’ headline there. It’s sad news indeed. I thought the computer games industry was pretty healthy in Liverpool, what with the SCE Studio, etc.

  • Jonny

    One of the healthiest in the country, Dan. Studio Liverpool is Sony’s second-largest division in the whole of Europe.

  • JD
  • Jackson

    The Sony Liverpool operation is a shadow of it’s former glory, sad to say. All the fun stuff happens in London. It’s testing only up in Wavertree, no developing. Rubbish times.

  • Peter

    If you made a list of all the Liverpool games developers who’ve disappeared since the days of Commodores and Spectrums it would be a really massive list (Sevenstreets: please write a series of articles about the history of games development in Liverpool). Seems it’s the way of the games industry for studios to come and go. Let’s just hope that if Bizarre Creations does shut that the talent won’t be lost and that maybe some new independent studios will be set up in its wake.

    And the comment about Sony not developing in Liverpool anymore, what’s this about? http://www.eurogamer.net/articles/2010-10-20-sony-hiring-for-futuristic-racer

  • Jackson

    There would be a similarly massive list of devs gone in manc too. its not just a liverpool thing, so we shouldnt get on that soapbox