Best quote I got from someone I know who knows about this was "Pointless, there will be ways to get around it, IF it even passes".
Seems like a massive waste of time and money.
I can't see this being passed in my opinion. They should just find a better way to stop people downloading music and films without trying to control everyone. As for blocking a household from the internet because someone was doing something.. You'll have people going to free wifi points, as there are a lot now, and downloading there instead of at your house.
On a side note, I hate Virgin, and I wish my internet would stay online and my DNS would stop going down. At this rate I wont have internet on long enough to be bothered by this. (4th time posting this same message)