Just read this on slashdot, VM are going to trial deep packet inspecition to look for filesharers. Now although it says that it will initialy only see the ammount of filesharing going on and not actully record who is a filesharer, it wont be long before they fully implement it and record stuff. One of the main reasons that ISPs didn't like government plans to stop filesharers is the cost of the hardware to do DPI, well, if VM are implementing it themselves then there will be no reason why the government cant get them to police the internet.
Slashdot said:"The Register reports that Virgin Media are to begin monitoring file sharing using a deep packet inspection system, CView, provided by Deltica, a BAE subsidiary. The trial will cover about 40% of customers, although those involved will not be informed. CView's deep packet inspection is the same technology that powered Phorm's advertising system. Initially Virgin Media's implementation will focus on music sharing and will inspect packets to determine whether the content is licensed or unlicensed, based on data provided by the record industry. Virgin Media emphasised that records will not be kept on individual customers and that data on the level of copyright infringement will be aggregated and anonymised."