In-game Purchases: Protections for Children

Baroness Bakewell of Hardington Mandeville Excerpts

Thursday 15th January 2026 Lords Chamber

[Baroness Twycross (Lab)]

Clearly, protection for children is key. But as the noble Lord rightly states, loot boxes are not currently legally considered gambling, as individuals are not able to cash out their purchases as currency. Where unlicensed gambling is identified, the Gambling Commission has shown that it will take swift enforcement action. I mentioned the report that was finalised and received in December; the Government are considering the implications of these findings along with other government departments and relevant regulators. We have committed to publishing its findings and we will do so shortly alongside our next steps, including keeping our position on possible future legislative options under review.

[Baroness Bakewell of Hardington Mandeville (LD)]

Last year, research published in the Journal of Behavioral Addictions found that, of 394 popular mobile console and PC games containing loot boxes, only 8.4% correctly disclosed their presence. Action on non-compliance by the Advertising Standards Authority is taken through informal resolution, without transparency or meaningful consequences, resulting in a failure to deter. Neither the ASA nor the Gambling Commission is taking ownership of the gap in enforcement. Will the Minister convene a meeting of the ASA and the Gambling Commission to clearly define responsibilities and strengthen enforcement action against companies which continue to breach the rules?

[Baroness Twycross (Lab)]

As the noble Baroness would expect, I regularly meet with the Gambling Commission and discuss its enforcement activity. I have also met with the Advertising Standards Authority, and, indeed, officials also meet with representatives of the ASA and the Gambling Commission on a range of matters. DCMS has previously raised concerns detailed by Members with the ASA, and I am happy to do so again. Although we are confident that the two regulators talk to each other, I will take steps to make sure that they are liaising very clearly and in detail on this particular point.