
The entire tone of your post is 100% consistent with the attitude of the people responsible for the problem: the whole SOMETHING MUST BE DONE panic.
First, this isn't going to happen. It is deeply opposed by many, many influential civil servants. It just is not going to fly. Period. It is a stupid kneejerk overreaction. It would be easily circumvented / rendered pointless and therefore a colossal waste of money.
There is a precedent of sorts already for this kind of surveillance. If you use the London underground you have choice: use an anonymous Oyster (RFID) card (with electronic cash balance) or use a registered one. If you use a registered one you can lose it and then have your balance transfered to a new one. But the price you pay is that all your journeys can be traced. Naturally, anyone with anything to hide will not use a card with a registered name and address.
On average over 3,000 data points are logged for each UK citizen every day. Supermarket purchases. Tube journeys. Credit card purchases. etc. etc. (today's Sunday Times)
Are you having fun yet?