adminThe UK games industry is facing scarce funding, studio closures and ongoing layoffs, but the mood at Develop:Brighton 2026 suggested a shift: instead of dwelling on what has gone wrong, more developers are looking for ways to adapt. Collaboration, regional support and new approaches to funding were central to conversations across the event.
How the UK games industry is building resilience
Develop:Brighton took place during another period of major industry cuts, including reductions affecting around 20% of the Xbox division. The difficult backdrop was familiar, but the response felt different. Many attendees appeared to accept that the conditions studios once relied on may not return soon. The practical challenge is finding sustainable ways to make and fund games in the current climate.
Across discussions and informal gatherings, developers considered how studios could support one another as investment becomes harder to secure and the economics of large-scale blockbusters face pressure. Regional networks are one way to strengthen those connections. Established groups such as Game Republic sit alongside newer communities including the Manchester Games Network and Peterborough’s People in Games.
Scottish Games Network founder Brian Baglow also encouraged companies to apply their development expertise outside the games sector. Interactive skills may be relevant to fields such as health care and heritage, creating opportunities beyond traditional game production. For developers exploring this route, building relationships with organisations in other sectors can help identify where their existing capabilities are useful.
Some attendees raised the idea of connecting regional groups through a “hub of hubs.” Better links between networks could make it easier to share knowledge, skills and opportunities. Any such arrangement would need coordination, but it could help smaller studios find partners without having to build every connection from scratch.
Dundee-based 4J Studios delivered the opening keynote at Develop:Brighton 2026, discussing its new Minecraft-like game, Reforj. | Image credit: GamesIndustry.biz
Studio partnerships and collectives
Collaboration was also a focus at the first Specialist XDEV gathering, hosted by Tanglewood Games, PitStop Productions and Inferno Studios. Participants discussed whether studios with different strengths—such as audio production and engine support—could work together to offer clients a broader set of services. Forming an alliance would require clear agreements about responsibilities, costs and client relationships, but the discussion reflected interest in practical ways to combine expertise.
Studio collectives may be another option. European examples include Isle of Strays and Nova Assembly, while Kepler Interactive is co-run by independent studios including Sandfall Interactive, the developer of Clair Obscur. Working together can allow studios to share in the rewards of successful releases while spreading some of the risk. Just as importantly, a collective can be structured to preserve each company’s independence.
Hangar 13’s ice cream van returned to the event. | Image credit: GamesIndustry.biz
The prototype funding gap remains a challenge
Funding was another major concern. There are some signs of change: venture capital firms such as Griffin and Vgames have created project-financing funds that support independent developers without taking an equity stake. However, publishers and investors often want to see a project well into development before committing. That leaves many teams searching for the money needed to build a convincing prototype or demo.
The UK government has announced £30 million over three years through its Games Growth Package, with some funding allocated to prototype grants from the UK Games Fund. Support in other countries can be larger: Germany announced €125 million for its games industry in 2026. Developer Filippo Beck Peccoz has said that state support from Bavaria made a substantial contribution to financing Imprinted.
For smaller studios, the gap between an early idea and a publisher-ready demonstration can be especially difficult to bridge. Mike Bithell, head of Bithell Games, described the problem as securing enough support to reach the point where a publisher feels confident investing. Studios can prepare clear budgets, milestones and playable evidence to strengthen a funding proposal, but those steps do not remove the need for early-stage capital.
The Brilliant Indie Treasures side event returned in a new, air-conditioned venue. | Image credit: GamesIndustry.biz
What comes next for the UK games industry?
Develop:Brighton’s conversations pointed to a sector seeking solutions rather than waiting for conditions to improve. Regional networks, shared services and studio collectives could help companies make better use of their skills and relationships. Yet collaboration alone cannot solve the shortage of prototype funding. The UK games industry will need reliable ways to support projects at their earliest stages if independent teams are to keep developing new ideas.
