UK Games Market Sees Growth Amidst Industry Job Cuts
The UK video game market reached £8.7 billion in 2025, with consumer spending growing 7.4% to £5.4 billion. Mobile gaming significantly drove this expansion, now representing over a third of total revenue. Despite market growth, the UK games industry is experiencing substantial employment declines.
Coverage across 3 outlets
Of all the platforms, Xbox is the only one to have just grown year-on-year - but there's a big catch
US video game spending in June dropped 21% year-on-year, with hardware sales declining significantly by 62%. While the Nintendo Switch 2 launch in June 2025 skewed comparisons, Xbox Series X/S was the only platform to see hardware spending growth, albeit from a low base. Subscriptions were the sole segment to experience growth.
UKIE: UK games market reaches £8.7bn in 2025
The UK games market reached £8.7 billion in 2025, driven by digital software and hardware sales, including the launch of the Nintendo Switch 2. While the mobile segment and game-related merchandise saw growth, the UK games industry experienced a significant decline in employment, with hundreds of companies cutting jobs.
UK video game spending grew to £5.4bn in 2025, driven by the mobile segment | Invision Game Community
UK consumer spending on video games reached £5.4 billion in 2025, marking a 7.4% year-on-year growth driven primarily by the mobile segment, which generated £1.88 billion. Mobile games now account for 35.5% of the total market revenue, showing an accelerated growth rate compared to the previous year. The report also highlighted that video games continue to be dominated by ownership rather than subscriptions, unlike music and video industries.
