Lord Triesman, the parliamentary Under Secretary for Innovation, Universities and Skills, told the BBC that the UK Governement could introduce new legislations in a bid to deter profit-making file sharers.
Lord Triesman also made a forceful appeal to Internet Service Providers to be more resourceful in finding ways to reduce file-sharing.
The Lord's words came days after two separate police investigations ended in the closing down of two popular file sharing websites, OiNK and TV-links.co.uk.
The Under Secretary was also adamant to point out that the aim was to go after those who were financially profiting from file-sharing and that the government would not go "hounding 14-year-olds who shared music".
The timing of the announcement coincides with a recent announcement from the Bush Administration that it plans to enrol other major countries (including the United Kingdom) to embolden the fight against copyright piracy.
However, ISPs have pointed out in the past that having to tag and monitor every packet of data flowing in a network would not only undermine privacy but also introduce serious technological and legal issues which might cause more damage than solve problems.