Get ready to discover one of the most remarkable British success stories in modern business. From a cramped flat in West London in 1975, three board game supergeeks launched a venture that would become Games Workshop, the driving force behind Warhammer, and now the world's number one hobby miniatures firm.
This isn't just about tiny plastic figures. It's an epic tale of how creativity, ingenuity, and a dedicated fanbase transformed a niche pastime into a stunningly profitable empire worth over £5 billion ($6.7bn), more than major UK names like Burberry, easyJet, and Deliveroo. Intrigued? Read on to chart the firm's breathtaking rise. All dollar amounts in US dollars.
In 1974, three friends, Steve Jackson, John Peake, and Ian Livingstone, moved into a “grotty” top-floor flat in Shepherd's Bush, West London. The trio had met as teenagers at Altrincham Grammar School in Cheshire, where they were a crew of sharply dressed mods into blues records and Lambrettas. Beneath the slick image, though, they shared a geeky obsession: board games, from the traditional types to newer, highly complex strategic war games.
The pals reconnected in the capital after going their separate ways for higher education. Jackson and Livingstone were working in sales and marketing roles, while Peake had landed an engineering job on the future Jubilee Line, part of the London Underground.
The friends spent much of their spare time playing board games and were getting deeper and deeper into the hobby. Peake started crafting exquisite sets by hand, and Jackson was cutting his teeth writing reviews for Games & Puzzles magazine. Then, one fateful evening in early January 1975, the trio decided to turn their pastime into a business.
The name came first. Games Garage, Cosmic Overflow, and Galactic Games were all considered, but the buddies settled on Games Workshop, a nod to Peake’s bedroom, which had essentially become a mini factory. To get the business off the ground, they scraped together £389, around £3,000 ($4k) in today's money. Their first purchase was a bandsaw to cut the wood for the games, and the first order – six Mancala boards for Just Games – arrived in late January 1975.
To promote their mail-order business and connect with fellow enthusiasts, the friends launched a free newsletter in February 1975. Owl & Weasel was so-named to reflect the qualities of a good gamer: wise as an owl and cunning as a weasel. Mostly written by Jackson, it swiftly gained traction.
Serendipitously, a copy of the first issue landed on the desk of Brian Blume of TSR, the American publisher of a then-little-known but groundbreaking new roleplaying game called Dungeons & Dragons. Blume sent the trio a copy for review and it blew their minds, so much so that they dedicated the July 1975 issue of Owl & Weasel to it. Soon after, Games Workshop secured the exclusive rights to distribute the title in Europe. It proved to be the company's big break.
Orders were coming in thick and fast, and in December 1975, Livingstone organised the first Games Day convention at London's Seymour Hall (pictured). A shrewd marketing move, the event helped raise the company's profile and has since become an institution. But not everyone welcomed the shift from traditional board games to ‘progressive’ roleplaying titles.
Despite an appreciation for Dungeons & Dragons, Peake preferred classics like backgammon and chess. Uncomfortable with its new direction, he left Games Workshop in January 1976, and the pioneering trio became a duo. That same year, Jackson and Livingstone quit their day jobs to focus 100% on the business.
In the meantime, Games Workshop was still running from the tiny flat in Shepherd's Bush. Customers often turned up expecting a shop, parcels piled up in the communal hallway, and calls flooded the building’s shared phone.
By July 1976, their landlord had had enough and showed his troublesome tenants the door. Jackson and Livingstone spent the rest of that long hot summer in the US on a business trip tied to TSR, returning with fresh stock and bigger ambitions. But with nowhere to go, they had to operate briefly from Livingstone’s girlfriend’s flat, then from the back of an estate agent's on West London's Uxbridge Road, a minuscule space they nicknamed the breadbin (pictured). And for a time, the duo lived out of a van while keeping the business afloat.
With Games Workshop expanding, Jackson and Livingstone wanted something more polished than the amateurish Owl & Weasel. They ditched the free title in April 1977 and two months later launched White Dwarf, a paid glossy magazine aimed at serious hobbyists.
The name was carefully chosen, evoking both fantasy (a dwarven hero) and science fiction (a collapsed star) to appeal to fans of both genres. It was the first UK magazine dedicated entirely to roleplaying games and quickly became essential reading for fans. More than just a publication, it built a community and helped fuel demand for Games Workshop’s expanding product lines. White Dwarf became a cornerstone of the brand and a cult fixture in gaming culture.
By 1977, Games Workshop was selling over 100 titles, including affordable UK reprints of expensive American roleplaying games. The business had long outgrown its makeshift office at the back of the estate agent’s, and in a convenient turn of events, the agent himself helped Jackson and Livingstone secure a larger space.
In April 1978, Games Workshop opened its first official retail store and headquarters at 1 Dalling Road in London's Hammersmith. A hit from the get-go, a queue of 100 people formed outside on opening day. The shop was a place to play and socialise as well as buy, and the premises marked a major turning point that laid the foundation for Games Workshop's global retail network and flourishing in-person community.
Also in spring 1978, Games Workshop secured a licence to produce Ral Partha miniatures, including this Norseman, marking their first major step into the miniature market beyond roleplaying games. Soon after, Jackson and Livingstone partnered with Bryan Ansell, a talented sculptor running a small firm called Asgard Miniatures. The trio made for a winning combination. Later that year, with Games Workshop's financial backing, they founded Citadel Miniatures.
Led by Ansell and based in Newark-on-Trent, Citadel began producing original pieces alongside the Ral Partha metal miniatures, forging the origins of what would become Games Workshop’s true calling: crafting unique worlds in miniature.
With sales on the up and the company on a roll, Games Workshop opened a second store in Manchester in 1980, followed by a third in Birmingham in 1981. The company's focus remained on roleplaying games and miniatures, but it also started to revive the adventure board game genre, kicking off the trend with the release of Talisman in 1983. The firm also began to produce video games, releasing Battlecars, its first in-house title, the following year.
Games Workshop, which had effectively pioneered a new business model for a fully integrated multimedia games business, had grown to 200 staff and was now turning over £5 million a year, around £17 million ($23m) in 2025 money.
In 1983, Games Workshop released the product that would define the company's future: Warhammer Fantasy Battle. It had been conceived the previous year when Ansell tasked Citadel designer Rick Priestley with creating a medieval-fantasy tabletop wargame to encourage miniature sales.
The trailblazing title combined the strategic depth of historical wargaming with imaginative fantasy. Warhammer Fantasy Battle was an instant smash, and it quickly became the UK's bestselling hobbyist export to the US. Thanks to its resounding success, Games Workshop was able to open its first office across the pond.
Meanwhile, Jackson and Livingstone were becoming increasingly preoccupied with a wildly lucrative side hustle: penning Fighting Fantasy books. Inspired by the hit Choose Your Own Adventure titles, these interactive novels became massive bestsellers, topping the UK book charts.
By the mid-1980s, the duo were putting in exhausting 16-hour days as they juggled the demands of Games Workshop with their Fighting Fantasy series. Eventually, something had to give. In 1986, Jackson and Livingstone made the difficult decision to step down from the company and hand Ansell the reins, though they did stay on as advisors and board members.
Gaming luminaries, Livingstone was knighted in 2022 for services to the industry, while Jackson is now a much-respected professor of game design at Brunel University in London.
With Ansell at the helm, Games Workshop increasingly concentrated on miniatures, which, in addition to being his passion, were comfortably outselling the firm's roleplaying games.
In 1986, the business moved from London to Nottingham and began merging with Citadel. That same year, Citadel began producing science-fiction miniatures, debuting the Space Marine. The figurine proved incredibly popular, paving the way for what would become the most successful miniature wargame of all time: Warhammer 40,000.
Games Workshop released the first incarnation, Warhammer 40,000: Rogue Trader, in 1987. The grimdark science fiction wargame flew off the shelves, buoyed on by its expansive lore, unique aesthetic, and excellent quality.
Overshadowed by the mighty miniatures, Games Workshop's roleplaying offerings started to fade away, and in 1989, the last dedicated line, Warhammer Fantasy Roleplay, was spun off.
By 1990, Games Workshop was pulling in annual revenues of £10.7 million (£26.5m/$36m in today's money), and its store count had grown to 25.
The following year, the company saw a major change in leadership. Tom Kirby took over as CEO from Bryan Ansell, leading a management buyout that acquired all remaining shares from founders Jackson and Livingstone, reportedly for £10 million, or £23 million ($31m) in 2025 money. This pivotal deal fully absorbed Citadel into Games Workshop, solidifying the brand under a single banner and heralding a new era for the business.
By 1994, the number of Games Workshop stores had swelled to 50, double the total from 1990, with branches opening in parts of Europe, the US, Canada, and Australia.
Games Workshop had been backed by private equity firm ECI Partners since the management buyout. In 1994, with the firm on a strong growth trajectory, it was floated on the London Stock Exchange. Now a public company, Games Workshop was going places
The company doubled down on its two bestselling miniature wargames, Warhammer Fantasy Battle and Warhammer 40,000, and pivoted the retail chain towards a younger, more family-oriented market.
Revenues shot up and profits soared, but the change in direction alienated some of the long-time fanbase, who hankered after the more DIY, less commercial Games Workshop of old and missed its roleplaying titles.
Multimedia diversification had always been at the core of the firm's success, and it stayed true to its roots in the late 1990s and early 2000s by branching out into card games with the acquisition of Sabertooth Games, working on video games and creating the Black Library, a dedicated publishing arm.
Churning out novels and other works of fiction set in the Warhammer worlds, it has gone on to produce a slew of bestsellers.
By the turn of the millennium, Games Workshop had become the Disney of the hobby world, a fully integrated multimedia powerhouse with everything from a publishing arm and video games to a retail chain that had mushroomed to 225 stores.
The company had even opened the Warhammer World Visitor Centre, which debuted in 1999. Located at the company HQ in Nottingham, this inspirational destination for gamers and collectors wows with a museum, gaming hall, and flagship store.
In 2001, a landmark partnership drew a new generation to Games Workshop. Teaming up with the makers of Peter Jackson’s The Lord of the Rings trilogy, the company launched a range of miniatures inspired by the blockbuster films.
The tie-in not only brought Tolkien’s world to the tabletop, it also proved a commercial triumph, generating lots of revenue and expanding the brand’s reach to a global audience of fantasy fans.
Already riding high off The Lord of the Rings range, Games Workshop scored another commercial hit in 2004 with the release of the top-selling Warhammer 40,000: Dawn of War video game, which spawned several sequels.
With business booming, the company's annual revenue for 2004 hit £152 million (£377m/$507m today). This was a 14-fold increase from 1990.
Despite this spectacular run, cracks began to show by 2005. Interest in The Lord of the Rings range dwindled after the final film's buzz faded, and overall sales plateaued.
Games Workshop pressed on, continuing to open stores and release products, but behind the scenes, tough choices were being made. The company began streamlining operations, trimming less profitable product lines, and shelving a short-lived attempt to revive traditional roleplaying games. But sales remained lacklustre.
In 2013, Games Workshop turbocharged the streamlining process, implementing The Great Master Plan, a sweeping overhaul with the aim of slashing costs, boosting efficiency, and delivering maximum returns for shareholders.
The strategy included a major bricks-and-mortar retail restructure, a new webstore, and numerous other changes to reduce overheads and eke out as much profit as possible.
In 2015, Tom Kirby stepped down as CEO, and veteran Games Workshop executive Kevin Rountree assumed the role.
Rountree has been all about strengthening ties with the fanbase. In 2016, Games Workshop launched the Warhammer Community online hub. Offering regular updates, news, painting tutorials, lore insights, and a whole lot more besides, it has become an essential resource for fans, as well as a valuable marketing tool for the company.
This new fan-focused direction, combined with a leaner business model, smarter IP licensing deals, and factors such as the launch of Warhammer TV on YouTube and Twitch, ignited a period of unprecedented growth for Games Workshop. The company also rebranded its stores under the Warhammer banner.
From 2016 to 2024, Games Workshop's revenue skyrocketed from £118 million to £584 million ($786m), a stunning testament to its rejuvenated connection with the fanbase and astute leadership.
The COVID-19 pandemic brought an unexpected boost to Games Workshop. Although its physical stores were forced to close during lockdowns, sales hit the roof as housebound gamers turned to the Warhammer hobby in record numbers.
Already a stock market sensation, Games Workshop saw its company valuation soar, surpassing that of the major UK retail firm Marks & Spencer.
Games Workshop has continued its winning streak, reporting a 20% rise in profits for the 12 months to June of this year, reaffirming its status as one of the UK's most successful homegrown businesses.
True to its reputation for rewarding staff, the company is handing out £20 million in bonuses to its 1,500 UK HQ employees, which works out at around £13,000 ($17.5k) each.
Now worth over £5 billion ($7bn), Games Workshop has better profit margins than Apple and Amazon, and recently joined the FTSE 100.
An investor’s dream, the company has delivered an astonishing 480× return since its 1994 IPO (including dividends). That translates to a compound annual growth rate (CAGR) of 21%, which is an exceptional figure by any standard.
From humble beginnings, Games Workshop has grown into a global powerhouse with over 500 retail stores, a vibrant online community, and a diverse range of hobby products spanning miniatures, games, and multimedia.
As the world’s leading hobby miniatures company, Games Workshop's expert in-house manufacturing, unmatched marketing, strong intellectual property protection, and fiercely loyal customers combine to secure its dominant position in the market.
Warhammer's huge and passionate fanbase includes plenty of well-known names. Celebrity devotees include Ed Sheeran and Vin Diesel, who have repeatedly waxed lyrical about their nerdy hobby.
But perhaps the most famous superfan is former Superman actor and star of The Witcher Henry Cavill, who revealed on Instagram during lockdown that he’s addicted to Warhammer 40,000, dubbing the game's miniatures "plastic crack".
Cavill isn’t just a superfan: he's stepping into a new role as star and executive producer for the upcoming Warhammer 40,000 TV franchise, following a major deal between Games Workshop and Amazon Studios that was finalised last year.
This is a seminal moment for the brand, which continues to expand far beyond the tabletop. While it's facing some headwinds, including potential impacts from the Trump tariffs, Games Workshop shows no signs of slowing. With its swelling global fanbase and high-profile media ventures, the company is going from strength to strength and stands perfectly primed for an even brighter future.
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