Loot boxes have become a prevalent aspect of many contemporary video games. This feature functions similarly to a game of luck, enabling players to open, unlock or crack a loot box to acquire a random reward. Australia has most recently introduced regulations pertaining to loot boxes, which will be enacted in the coming September.
Michelle Rowland, the Australian Minister for Communications, declared that the Albanese administration is steadfast in curtailing gambling-related harm, this involves limiting children’s exposure to games with gambling-like mechanisms. She verified the recent approval of a proposal that mandates a minimum categorisation for gambling-like content in video games.
These impending changes, effective from September 2024, dictate that games incorporating simulated gambling, such as social casino games, will be assigned an R18+ restricted categorisation. This classification implies that users below the age of 18 will be legally ineligible to access this content. Furthermore, the R18+ categorisation signifies that such offerings are ill-suited for children.
Furthermore, the modifications will institute an M-mature advisory classification for games containing purchasable features like loot boxes and additional in-game purchases. Although this measure is advisory rather than restrictive, it enables legal guardians and parents to be aware that such offerings are linked with potential risks that should be carefully evaluated before allowing their children to engage. Although this change will be initiated next September, it will not retroactively apply.
Initiatives Aim at Safeguarding Children from Gambling-Related Harm and Addiction
Rowland stated that these modifications to video game classifications were decided following a three-week-long public discussion that concluded earlier this year. In May of 2020, the Neville Stevens Review suggested this classification to the prior government of Australia. Presently, according to Rowland, the Albanese administration is taking assertive measures in adherence to the recommendation to shield children from the damaging effects of gambling-like content.
“We recognise the escalating community apprehension about children’s exposure to gambling-like features in games.“
Michelle Rowland, Minister for Communications in Australia
The Minister for Communications recognised that video games expose children to elements akin to gambling, generating worries about harm and addiction. The Australian Institute of Family Studies uncovered a relationship between games with gambling-like features and problem gambling and other forms of harm in their research. Rowland asserts that these modifications aim to aid Australians in making informed decisions about appropriate content for their children.
Australia is not the sole country enforcing regulations for loot boxes. Earlier this year, the UK government called on the gaming industry to put stringent guidelines into place to ensure player protection. In general, the Department for Culture, Media and Sport formulated and introduced 11 distinct principles relating to loot boxes.