According to Games Investor big wig Nick Gibson the games isn't entirely proof, despite claims that gaming will continue growing through the global economic downturn.

Apparently, private funding to game makers is down a whopping 60 per cent this year; mainly as a result of firms not lending to small and medium-sized game makers. Gibson is worried this situation could worsen.

"The bullish industry insider may be thinking that the relative success of games would act as a beacon to attract investors and lenders, but this is not proving to be the case," he offers. "There are a variety of complex reasons for this.

"Most investors will have less capital to invest than they did a year or two years ago, many will be spending a higher than expected proportion of their available capital on ensuring their existing investments stay afloat and they will also have become incredibly risk-averse, making new investments within their comfort zone only.

"Given that few investors really understand the games sector, and so many distrust it, this will have left few investors willing or able to take a punt on a privately-held games company."

Gibson is worried that more daring game projects may miss out on backing as a result of this knock to funding.

By Luke Guttridge