Ubisoft analysing next step in Quebec after subsidy cuts

Ubisoft is analysing the next step for its Montreal and Quebec City studios following the news that tax relief in province will be cut.

Last week we confirmed subsidies would be dropped 37.5 per cent to 24 per cent for games produced in English, a move that would affect all 130 studios in the region.

Ubisoft CEO Yannis Mallat has now told IGN it will look into what the cuts mean for growth in the Quebec province, as the publisher had previously planned to scale up its operations even further.

"I think we need to analyse with this means for us,” he said.

“Then once the analysis is done, we’ll be able to decide what the next stage is for us."

He added: "I think what Quebec has become over the years in terms of video game development, it’s not a hotbed. So obviously this tax program was here to help build that environment. So we see this program as an important reason for the growth of the sector in Quebec."

Ubisoft was one of the founding partners of Quebec’s generous games tax relief scheme, and has since continued to benefit from millions of dollars to grow its studios and create jobs in the region.

In September it was claimed the publisher would be investing as much as $373m into its operations in the province as it looks to create an extra 500 jobs and improve its facilities. By 2020 it planned to employ 3,500 people in the region.

It is not currently clear just how the subsidy cuts will affect those plans, though it will likely mean such an investment will now be significantly more expensive.