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Accusations fly as researcher claims UK loot box regulations are failing

 

Is the UK’s loot box policy failing? One vocal researcher says it is, and claims to have evidence that there’s “widespread non-compliance and non-enforcement” of loot box policy in the UK.

UK trade body UKIE, however, has questioned the motivations and methodology of the research, suggesting the work lacks credibility.

In the UK, game-makers are expected to self-regulate their use and marketing of loot boxes (or gacha) mechanics. Trade body UKIE outlined its 11 principles of self-regulation in July 2023, and told us at the time that companies not following the guidelines could be handed “severe fines” and face “delisting” from app stores.

Since then, loot box researcher Leon Xiao has been tracking if and how companies are regulating themselves. And he claims that none of the 100 highest-grossing iPhone games are following the guidelines, which say games companies should seek “explicit parental consent prior to enabling loot box purchasing by under-18s”.

Xiao’s research also claims that of the sample taken, only 23.5% disclosed the presence of loot boxes in their marketing, and of those disclosures, all of them were “visually obscured and difficult to access”.

From July 2023: ‘UKIE threatens “severe fines” and “delisting” for ignoring new loot box guidelines’.

The research also alleges that just 8.6% of the games sampled “consistently disclosed the probabilities of obtaining different rewards” in their loot boxes. Xiao says he sent his research to UKIE and Apple’s App Store in June 2024, but no action has been taken.

UKIE has since responded to the claims with the following statement, while also noting that it is “not a regulator” and “has no formal enforcement powers” regarding the guidelines’ implementation.

“While we welcome constructive dialogue on the development of the UK’s globally successful video game industry, we strongly refute the assertions made in this study and have significant concerns about its methodology.”

It continues: “The study is based on a narrow sample and focuses on a single platform outside the scope of industry-standard ratings – while overlooking platform-level parental controls. These methodological limitations, along with the tone and lack of peer review, raise concerns about the credibility of these findings.”

UKIE has raised the concerns with The Department for Digital, Culture, Media and Sport (DCMS), and “remains steadfast in its commitment to evidence-based policy development and player safety.”

It also added that the DCMS has commissioned an independent evaluation of the loot box principles.

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