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<p>The Gambling Commission, as the regulator for gambling in Great Britain, has strong
powers and can take action where it needs to address emerging risks. We meet regularly
with the Gambling Commission and the games industry to discuss a range of issues including
concerns around the potential for convergence between gambling and video games.</p><p>
</p><p>Loot boxes do not fall under gambling law where the in-game items acquired
are confined for use within the game and cannot be cashed out. However, the Government
is aware of concerns that loot boxes and other entertainment products, such as some
video games, could encourage gambling-like behaviour or participation in gambling
and in the longer term lead to gambling related harm. Our assessment to date is that,
while participation rates in gambling are stable, we will continue to look closely
at any new evidence around these issues, and in particular where there is evidence
of harm.</p><p> </p><p>In addition, the Gambling Commission, along with 15 other regulators
from Europe and the USA, have agreed to work together to monitor the characteristics
of video games and social gaming and where there is potential cross-over into gambling.
They will also work to raise parental and consumer awareness.</p>
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