The UK has the largest creative sector in the European Union and, relative to GDP, probably the largest in the world. The term ‘creative industries’ defines a broad range of activities covering 13 different sectors: advertising, architecture, art and antiques, crafts, design, designer fashion, film, leisure software, music, the performing arts, television and radio, publishing and software.

These industries achieved an export value in 2006 of £16 billion - or 4.3 per cent of all goods and services exported. Moreover, they have been growing at twice the rate of the wider economy. An analysis by the National Endowment for Science, Technology and the Arts (NESTA) suggests this outperformance will continue, with average growth of four per cent forecast for 2009-2013.

As of 2007, creative employment stood at just under two million. Access to the skills possessed by these industries is highly valuable to businesses, with research showing that industry sectors with strong links to the creative industries display improved innovation in new products and processes. It has also been shown that businesses which increase their investment in design simultaneously increase their chances of turnover growth.

The UK has a rich history of pre-eminence in creative talent, particularly in design. Renowned design courses are offered by universities across the country, including London’s Royal College of Art and Central Saint Martins College of Art and Design, University College Falmouth in Cornwall and Glasgow School of Art in Scotland. Scotland is also home to a growing community of successful computer games studios, including Realtime Worlds, and Rockstar North. It is ranked third in Europe’s top 50 locations for the industry and the University of Abertay Dundee was the first university in the world to offer a degree course in Computer Games Technology.

The videogames sector has been described by NESTA chief executive Jonathan Kestenbaum as ‘one of the UK’s greatest success stories of recent years’, with average annual growth of eight per cent between 1997 and 2006, compared to just three per cent growth for the whole economy. In fact, almost a third (31 per cent) of total creative industries exports in 2006 was generated by the software, computer games and electronic publishing sector, ranked the third largest videogames territory in the world in 2008.

A strong pool of creativity and innovation has produced some of the world’s most successful videogames titles, including the Grand Theft Auto series, developed by Rockstar North in Edinburgh, the Tomb Raider franchise, created by developer and publisher Eidos in London and PlayStation 3’s LittleBigPlanet, the first release by Guildford-based independent studio Media Molecule. The success of such studios has already brought foreign investment. In February 2009, Eidos was acquired by Japanese group Square Enix, while publisher and developer Rockstar Games’ studios in Edinburgh and Leeds, which date from the late ‘80s and ‘90s respectively, are now owned by US publisher Take-Two Interactive.

UK design talent is also world-renowned, with global-reach consultancies including product design group Seymourpowell and branding specialist Wolff Olins in London and Edinburgh-headquartered Navyblue. Major businesses to invest in UK-based R&D/design centres include Nissan, LG, Nokia and Panasonic. Having relocated its European Design Centre from Milan in 2008, Korean giant LG released its first fully European-designed mobile handset in August that year.
Creative Pic2.gif
Yamaha Corporation also chose the UK for its first design studio outside Japan because of the abundance of creative talent here, says head of Yamaha Design Studio London Kunihiro Takei. “We chose the UK because we were eager to meet many distinguished designers and be stimulated by them. And we thought London is the best place because there is much talent here. We also sent a student to the Royal College of Art, recognised as one of the most important places in the world in terms of product design.”

“We chose the UK because we were eager to meet many distinguished
designers and be stimulated by them.”
Kunihiro Takei, head of Yamaha Design Studio, London

There are over 12,000 design consultancies across the UK, as well as 47,400 self-employed, freelance or non-employing designers. Around half of these are concentrated on London and the south-east, but in-house design teams are spread across the country, with a significant 12 per cent residing in the North West. The North East also has a strong design agenda, having hosted 2007’s inaugural Designs of the Time initiative, which has now moved to Cornwall, South West England.



UK SECTOR REPORT by Scott Billings

CONTACTS:

Leisure software and publishing
Entertainment and Leisure Software Publishers Association (ELSPA):
www.elspa.com

The Independent Game Developers Association (Tiga):
www.tiga.org

Technology Strategy Board:
www.innovateuk.org

Skillset:
www.skillset.org/games

Design
British Design Innovation:
www.britishdesigninnovation.org

British European Design Group:
www.bedg.org

Design Council:
www.designcouncil.org.uk

Design Business Association:
www.dba.org.uk

Designs of the Time:
www.dottcornwall.com

General creative industries
Department for Culture, Media and Sport:
www.culture.gov.uk

Creative & Cultural Skills:
www.ccskills.org.uk

Creative Connexions:
www.creativeconnexions.com

NESTA:
www.nesta.org.uk

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