According to UKIE, the UK's video game market will hit £8.7 billion by 2025

In 2025, the UK games industry was valued at £8.7 billion, as per UKIE's annual market review on consumer games.

There was a 7% increase in software sales, totaling £6.03 billion, while digital console game sales experienced a 9.2% rise, reaching £2.49 billion. Hardware sales also saw a boost of 3% to £2.17 billion, largely due to the release of Nintendo Switch 2 in June 2025.

The mobile gaming sector expanded by 7.9%, achieving £2 billion, despite a reduction in downloads, as monetization strategies across platforms were enhanced.

The segment involving game-related movies, TV shows, and soundtracks surged by 70% to £159 million. Merchandise and toys linked to games saw a significant 43% growth, hitting £333 million.

Game film adaptations pulled in £77.9 million, with Sonic the Hedgehog 3 and A Minecraft Movie contributing significantly. The latter broke records, becoming the UK's top-grossing film at £56.8 million.

London was acknowledged as the third-largest center for gaming developers worldwide, trailing only Los Angeles and San Francisco.

Despite this growth, the UK games sector faced challenges in employment, as detailed in TIGA's Making Games in the UK report. The industry encountered its "most severe downturn on record," with a workforce reduction of 4.5% over the year.

Between May 2024 and September 2025, there were 3,655 full-time job cuts across 491 companies. In contrast, 513 studios collectively introduced 2,571 new roles. Consequently, the overall number of people employed in the UK's gaming industry decreased from 28,516 to 27,347.