UK MPs recommend loot box regulations
UK MPs recommend loot box regulations
In the report, the Digital, Culture, Media and Sport (DCMS) Committee recommends that paid loot boxes be regulated under gambling law. The report also advocates a ban on sale to children. This challenges the government’s current stance, which is that loot boxes are not gambling.
The inquiry took evidence from developers, academics and other industry insiders, with the report claiming that representatives of social media and gaming companies lacked “honesty and transparency” during the investigation. In light of this report, the government is advised to replace a paper to explain why loot boxes are not regulated under the gambling act or work towards their regulation.
Damian Collins, MP and head of the DCMS Committee chair, stated that social media companies need to be more responsible. The DCMS report also advises a precautionary approach for the UK government moving forward. The committee also suggested that the Government advises PEGI to apply the gambling content label, and its associated age limits, to future games with loot boxes or similar mechanics.
FIFA, RuneScape and other gaming titles are mentioned within the report. Instances of players spending thousands of pounds on each title are cited, claiming that “gaming is several years behind gambling in relation to protecting the vulnerable”.
In the report’s conclusion, the DCMS says that the government should bring forward regulations which will place loot boxes under section 6 of the gambling act during the next parliamentary session. This will confirm that loot boxes are a game of chance in the eyes of British law.
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