GAME has announced it will be launching a new online service that will see the company branching out into game rentals.

The service has been formed in partnership with SwapGame, and follows a format similar to that of online DVD rental service LoveFilm.

Imaginatively named GAME Rentals, gamers will be able to borrow up to two games at a time for a monthly fee, with unlimited play time and no late fees.

"We spent a lot of time talking to customers, to find out what services they want from us and how we can help them enjoy more games and get great value", said GAME’s online business MD Alex Croft.

"GAME Rentals will allow customers to rent games for a small subscription each month. Two games can be rented at a time, and when customers post one back to us, another will be sent out to them.

"It is a great way to help customers try games out before they buy. gives customers every possible choice, so that whichever way they want to get hold of games, we offer it – be it through home delivery, downloading, renting, ordering online or collecting in store".

He added: "In terms of promotion for the service, we’re currently marketing GAME Rentals to the hundreds of thousands of people who visit each day. We are also running targeted email campaigns to drive awareness".

GAME Rentals is set to include a range of blockbuster games and classic titles across Xbox 360, Xbox, PS3, PS2, PSP, Wii and DS consoles.