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p2pnet has frequently pointed out the cost of the entertainment cartel Three Strikes and you’re Off The Net business plan won’t be borne by Hollywood or the Big 4 labels, who came up with it.

Rather, taxpayers and, to a lesser extent, ISPs, will foot the bill.

The scheme would have governments around the world acting as industry copyright agents, and local ISPs targetting their own customers on behalf of the movie and music studios.

Now, for the UK version, “Proposals to suspend the internet connections of those who repeatedly share music and films online will leave consumers with a bill for £500 million, ministers have admitted,” says Times Online, going on:

“The Digital Economy Bill would force internet service providers (ISPs) to send warning letters to anyone caught swapping copyright material illegally, and to suspend or slow the connections of those who refused to stop. ISPs say that such interference with their customers’ connections would add £25 a year to a broadband subscription.

“Ministers have not estimated the cost of the measures but say that the cost of the initial letter-writing campaign, estimated at an extra £1.40 per subscription, will lead to 40,000 households giving up their internet connections. Impact assessments published alongside the Bill predict that the measures will generate £1.7 billion in extra sales for the film and music industries over the next ten years, as well as £350 million for the Government in extra VAT.”

Britain’s largest provider, BT, has “stepped up its attack on the plans” which it says represented “collective punishment that goes against natural justice,” says the story, quoting BT spokesman John Petteras saying:

“Put yourself in the shoes of a small businessman who has a rogue member of staff. Your internet access could get cut off because of the actions of one individual. It really feels like the UK is out on a limb with these proposals compared to the rest of the world.”

Petter says the “poorly thought out” makes BT “really worried that this is all a false game”.

Fronting the scheme for Vivendi Universal, EMI, Warner Music and Sony Music and Disney, News Corp, Time Warner, Viacom, NBC Universal and Sony Pictures is Peter ‘Mandy’ Mandelson’s department for business, innovation and skills which, according to the story, says, “The overall benefits to the country far outweigh the costs.”

That should, of course read, “The overall benefits to Hollywood ands the Big 4 labels far outweigh the costs to local taxpayers.”

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