In 2020, the Department for Digital, Culture, Media and Sport (DCMS) initiated a call for evidence regarding loot boxes, a feature in video games that allows players to use real money to purchase boxes containing random items, such as power-ups and virtual clothing. This practice has drawn scrutiny due to concerns that it may resemble gambling, as players invest real money without certainty of the rewards they will receive.
The findings from this call revealed that players who buy loot boxes are at increased risk of experiencing gambling-related issues, mental health problems, and financial harms, particularly among children and young people. DCMS highlighted that some video game developers and platforms, including Xbox, have already implemented measures like requiring parental consent for minors to spend money on in-game purchases.
To enhance protections for young players, the department aims to build on these initiatives and may consider introducing new legislation if the industry fails to adopt adequate safety measures. The government will push for stronger spending controls and clearer information for all players, addressing the minority who disproportionately spend on loot boxes and may face higher risks.
In line with these efforts, DCMS plans to establish a working group composed of game developers, platforms, and regulatory bodies to craft industry-led strategies aimed at safeguarding players and minimizing risks. These initiatives could involve the introduction of additional parental controls and the dissemination of transparent information to gamers.
Additionally, DCMS's call for evidence identified a need for improved research on both the positive and negative effects of video gaming, leading to the launch of a Video Games Research Framework to enhance understanding in this area.
Culture Secretary Nadine Dorries emphasized the importance of preventing children from making online purchases without parental approval, particularly concerning loot boxes. "Games companies and platforms need to do more to ensure that controls and age-restrictions are applied so that players are protected from the risk of gambling harms," Dorries stated. "Children should be free to enjoy gaming safely, while giving parents and guardians the peace of mind they need."
Jo Twist, chief executive of the Association for UK Interactive Entertainment, expressed support for the government's proposal and a commitment to collaborating to enhance player protections. She stated, "As a responsible industry, we have committed to exploring additional ways to support players and parents to build on our existing work developing and raising awareness of parental controls. We look forward to engaging closely with the government and other organizations in the working group and on the Video Games Research Framework."
Richard Wilson, chief executive of TIGA, a trade association for the UK’s gaming sector, agreed with the call for enhanced player safety. He remarked, "TIGA believes that games businesses should aim to ensure that games are safe to use for all players. Children and young people should not be able to buy ‘loot boxes’ in video games without parental consent. TIGA also believes that vulnerable adults need to be protected against potential harms arising from loot boxes. TIGA looks forward to contributing to DCMS’s planned working group to advance measures to protect players from potential harms."
