Edge Hill awarded £900,000 to study loot boxes and children

Edge Hill University has been awarded £900,000 to fund a three-year study examining how loot boxes in video games affect primary school-aged children. The project, led by Dr John Shaw, will begin in January 2027 and is based at Edge Hill.

Researchers will track children aged about five to 11 over the study period to observe how interaction with loot boxes develops and how that interaction relates to psychological and behavioural outcomes. The team plans to identify which factors make some children more vulnerable to potential harms and how engagement changes over time.

Edge Hill will recruit participants and shape the research with charities including YGam, Internet Matters and ADHD UK. The study will collect data on gaming habits, in-game purchases, mental health measures and other behavioural indicators to build a longitudinal picture.

The university cited survey data indicating more than 90% of UK children aged five to 11 play video games, with around one in three buying in-game items and an average spend of about £26 per month. Researchers will examine how peer pressure, game design and marketing influence these purchasing decisions and subsequent behaviour.

Dr John Shaw described loot boxes as having “psychological similarities with gambling” and linked them with “mental health difficulties in young people.” He added, “Coercive pressure is often exerted on children to engage with microtransactions through time-limited availability, rarity and the social desirability of virtual items,” and noted risks may be greater for neurodivergent children, including those with ADHD and autism, who often spend more time playing video games.

The study comes amid growing scrutiny of loot boxes internationally. In the US, the New York attorney general has brought legal action against a game company over loot boxes. In Brazil, several companies including major publishers reached settlements, and elsewhere regulators have moved to change age ratings for games with randomized purchase mechanics.

From June, the Pan European Game Information system requires games with random-purchase features to carry a PEGI 16 or PEGI 18 rating. The UK follows the PEGI system, which could lead to higher age ratings for titles that previously carried lower ratings.

Edge Hill said the research will produce longitudinal evidence about early exposure to loot-box mechanics and their relationship with mental health, gaming behaviour and potential gambling-related harms. The team expects findings to inform guidance for families, charities and policymakers working on child protection and digital safety over the three-year project.

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