The computer games industry has attacked proposed changes to the way games are to be regulated.

At a games industry conference today, senior figures said the move to have all games rated by the British Board of Film Classification (BBFC), would be "a step backwards".

Paul Jackson, director-general of trade association Elspa, said: "The BBFC system is incapable of rating the sheer number of games and accessories in the online world we are now facing.”

The debate at the Westminster Forum on the UK computer games industry, followed a Government-commissioned review of the industry by Dr Tania Byron.

The review said the current system using PEGI to rate most games according to age suitability can be confusing to consumers.

It was also felt the PEGI system is not robust enough as ratings are voluntary, 'advisory' and have no legal status. BBFC ratings on the other hand are legally binding; and currently only mandatory if games have certain video content.

In March, Dr Byron advised the introduction of a two-part system in which games are inspected by both the BBFC and by industry body PEGI before being released. BBFC logos (the same as those for DVDs) would appear on the front of games boxes and PEGI logos on the back.

However Chris Deering, chairman of games maker Codemasters said the way games develop could make a mockery of a legally binding age ratings system.

"It's one thing when £40 games are sold on a disc that can be played and then rated. But when it's sold as 40 downloads at £1 each, the 38th episode may not even have been written when the first one is released.

“When you get into multiplayer online games which are written as they are played, how can you regulate those? It's like trying to regulate the middle of a football match – you don't know where the ball is going to be,” he said.

Mr Jackson said this would not only put children at risk but could damage the UK industry itself. Games would undoubtedly be released later than those in Europe, especially during peak periods."

However Peter Johnson, the BBFC's head of policy, hit back saying that the BBFC had better resources than those of PEGI to cope with an increasing number of games.

He said: "As with television and film there is a realistic risk of harm [from violent games] for some children in some circumstances.

“This does justify more effective regulation than is currently in place. The film industry has coped for 100 years with BBFC accreditation; I'm sure the games industry can too.

Culture minister Margaret Hodge concluded that despite the dissension, the industry and regulators had to find "a shared solution that everybody can buy into".