Parent Zone

Uncovering the Hidden Financial Risks in Children’s Gaming

With 88% of UK children playing online games, digital play is an important part of childhood. However, current age rating systems fail to flag the financial risks endemic in gaming.

Parent Zone has been a leader in researching and responding to online financial risks and harms affecting families for many years. In 2018 our independent research uncovered young people’s exposure to skin gambling, we led the Child Financial Harms consortium and recently we have developed the Gaming Risk Index.

Gaming Risk Index (GRI)

By analysing millions of reviews across thousands of Google Play Store games, the Gaming Risk Index scores titles against ten child financial risk categories, including loot boxes, subscription traps, skins, and pay-to-win mechanics.

We are still in early stages of analysis but so far we have found that over 99% of the games we have looked at contain financial risk indicators and that risks occur fairly uniformly across all age ratings.

We also found that whilst educational games may score lower on risks like gambling, they have the highest prevalence of subscription traps – showing how business models shift so that the reality of what’s in a game may not match our expectations.

Through this work we have evidenced what many parents already tell us, that game ratings are confusing, don’t reflect parents’ concerns and miss key risks. And, our findings align with broader research on persuasive design. An Ofcom study identified manipulative features, such as dissociative in-game currencies and impulse-activating countdown timers, that encourage unchecked spending, while a University of Sydney report identified misleading monetisation in 14 out of 15 games they sampled on Roblox.

Gaming has a valuable role in children’s lives. It brings many positives – but also hidden risks and challenges for families. Improvements are underway, but broader system changes are still needed. In the meantime, we will continue to help parents make sense of it all.

Level up…

Take a deeper dive into the Gaming Risk Index and Child Financial Harms, tune into Tech Shock, or get practical parenting guides.