Ann McKechin MP today accused Scottish Secretary Michael Moore of "sleeping on his watch", after he admitted that he had failed to meet with either his Cabinet colleagues or industry representatives regarding the abolition of a key tax relief for computer games publishers.

Computer games development is a vital growth industry in Scotland where Labour has worked hard to nurture inward investment and to protect skilled jobs.

Commenting on the failure of the Secretary of State to consult with the industry or the cabinet on this damaging cut Ann McKechin MP said:

"Mr Moore has been caught sleeping on his watch. It is inexplicable that he failed to speak up for one of Scotland's growth industries before his cabinet colleagues wielded the axe on vital tax breaks which would keep and create jobs here.

"It is also extraordinary that the Coalition has failed to meet representatives of the industry in Scotland. I will be meeting the industry myself in the coming days to pledge Labour's support to keeping video games companies investing in Scotland.

"Thousands of jobs are at stake and it is wildly irresponsible of ministers not to discuss the impact of abolishing these tax breaks with the industry before announcing the cut.  If Scotland's computer games industry moves abroad it will have a devastating economic impact on many cities which have built up a world leading industry in Scotland.

Last week, Activision Blizzard, a major player in UK games industry said that the Tory-Lib Dem Government's decision to scrap games tax incentives could lead to it moving out of the UK market.

Ann McKechin MP said:

"Only last week the world's largest video games manufacturer warned that the change in government policy would make it reconsider investing in the UK.  That is how serious these issues are, but the Lib Dems and Tories don't seem to recognise that.

"The SNP are sitting by on this one - as Iain Gray has repeatedly pointed out, they could find ways of supporting the industry in Scotland but refuse to."

In a written answer to Ann McKechin MP on 29 June, below, the Secretary of State for Scotland explained that he had failed to meet with Scottish video games interests or his cabinet colleague responsible for the sector.

Ann McKechin: To ask the Secretary of State for Scotland (1) what recent discussions he has had with representatives of the computer games industry in Scotland on the prospects for that industry; (2) what recent discussions he has had with the Secretary of State for Culture, Olympics, Media and Sport on the future of the computer games industry in Scotland. [4455]

Michael Moore: I have had none. However, as the hon. Member will know, the computer games industry is very important to Scotland's economy and I look forward to meeting representatives of the sector when an appropriate opportunity arises.