It looks as if Liverpool-based developer Bizarre Creations will close, following a recommendation of closure by owners Activision. It was announced in November that Activision were looking to part company with Bizarre, and immediately there were reports of multiple parties interested in buying the company, which developed the racing games Blur, Metropolis Street Racer, and the Project Gotham Racing series.
However, although the consultation period is still ongoing, Activision has issued a recommendation for studio closure, affecting around 200 staff, and meaning that the chances of the company surviving are extremely slim. The threat to the studio followed the release of Blur, which achieved disapointing sales figures.
Coincidentally, our sister site FPS Prestige recently followed reports Activision could pull out of the UK entirely, following the decision of the UK Government to scrap tax breaks for the games industry. Given that the tax breaks were promised until the 2010 Budget, which took place in June 2010, the fact that Activision decided to divest itself of Bizarre 4 months later might not be unrelated.