Loot Boxes in Video Games

Debate between Lord Hampton and Lord Parkinson of Whitley Bay

Wednesday 13th December 2023 Lords Chamber

[Lord Parkinson of Whitley Bay (Con)]

Under the terms of the Gambling Act, gambling is defined as

“playing a game of chance for a prize”

of money or something of money’s worth. The prizes that can be won via most loot boxes do not have a monetary value; they cannot be cashed out and they are of value only within the context of the games. They do not meet the definition, and I do not think they quite meet the analogy that the noble Lord made.

[Lord Hampton (CB)]

My Lords, is the issue of loot boxes not just part of the wider issue of in-app purchases in games? Does the Minister agree that we need more transparency on the whole idea of games and how they are funded?

[Lord Parkinson of Whitley Bay (Con)]

Yes, we are committed to ensuring that video games can be enjoyed safely and responsibly by everyone. To support that, we are working closely with the Games Rating Authority, which ensures that all games are appropriately rated. That includes information for those who buy them on what they can expect from their purchases. We have also, as I say, developed and published the video games research framework to support high-quality, independent research into games, and that is an important tool to augment our understanding of the impact of playing video games.