Even if this is legally correct, I expect that they will close down this loophole within a few years. The effects of the Digital Economy Bill have yet to be felt, but one thing that seems certain is that potentially a lot of erroneous allegations or disconnections could take place. Perhaps a more proactive way to deal with this is to build up a legal defence fund for people wrongly accused of copyright violation and to vigorously contest such cases.

In the longer term, and assuming that current trends continue, aggressive enforcement of copyrights will be very good for creative commons media and free/open source software.