The House of Lords has given its backing to new legislation that could force broadband providers to disconnect web users that share files illegally.

Approval for the digital economy bill has come after it was initially rejected due to a clause calling for ministers to be able to change laws on copyright without the need for legislation.

However, opposition emerged from the business world when the replacement clause, which called for broadband providers to block certain websites, was put forward by Liberal Democrat peer Lord Clement-Jones.

Virgin Media, TalkTalk and BT were among the firms that published an open letter to the Financial Times outlining their concerns over the move.

Lord Young of Norwood Green claimed the proposal is not compatible with EU legislation, but work is ongoing to create a new version.

He said: "It is our intention to try to bring forward, as the bill moves to the Commons, a clause that would seek to ultimately achieve the same effect."