LittleBigPlanet 3 is the third main game in the puzzle-platformer series and created by a different developer than the previous two. The game has an overarching story for the first time, with voiced supporting characters and cut-scene sequences, and it is set in Bunkum where the familiar Sackboy character meets Newton. He tricks Sackboy into unleashing three Titans, creatures that were locked up because they robbed the world of creativity.

The goal is to explore three hub worlds where three heroes can be rescued: Oddsock, Swoop and Toggle. These all have different abilities and they can be used in some of the levels with puzzles specifically for that character and eventually they work together in the final levels of the game. Oddsock is a fast dog that is able to walljump, Swoop is a bird that can grab objects between its talons, and Toggle can switch between a light and heavy form, usually for pressure plates and weight based puzzles. As Little Toggle you can run over water and fit through tight spaces. Next to Sackboy's basic controls there are a number of gadgets he can use, such as a helmet to glide rails, a ball that is launched using a Blink Ball gun to shiny surfaces to teleport there, the Velociporter to quickly move between foreground and background, Boost Boots to jump farther and a vacuum gun used to pull foam objects. Sackboy can also climb using rope-based textures that act like vines.

The game can be played cooperatively with up to four players, each controlling a character that can be extensively customized. Level environments are very different, including a stage set in a 50s diner, floating in a space level, a movie set, an Eastern European-Christmas-themed Ziggurat Hub, participating in a casino heist etc. Entirely new is the ability to complete levels by building contraptions using various items that have been collected.

As with the previous games it is possible to design and share custom levels. These are now introduced through a series of twelve Popit Puzzles in the Popit Academy, each training a specific technique or tool in level building. It is possible to build custom power-ups, starting with the Blaster Handle tool that can be fitted with various enhancements. The three layers of the previous game LittleBigPlanet 2 have been expanded to support up to sixteen layers. Levels support streaming and can be extended by stitchign them together. Custom levels have the ability to support more than one character during gameplay as well. Millions of levels created in the previous game are included straight away with the game and all previous content is compatible. There is also full compatibility for both platforms for content such as costumes bought for earlier versions of the game.