HOUSEHOLDS that download pirate movies, TV shows, music and other content might face “graduated warnings” that could lead to their internet ­service being suspended.

The radical option has been floated by the Federal Government as it considers a crackdown on what it called the scourge of online piracy.

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Internet providers could also be forced by the courts to block websites that allow people to illegally download content. Australians are reportedly among the biggest users of pirate websites.

Federal Attorney-General George Brandis said piracy was theft that was putting at risk the future of creative industries, which account for 8 per cent of Aussie jobs and 6 per cent of the economy.

Senator Brandis, who is also Arts Minister, said it was important to protect copyright to make sure those who take on the risk of creating work are properly rewarded for their abilities and efforts.

“The illegal downloading of Australian films online is a form of theft,” he said.

“As is the illegal downloading of any protected content.”

The government is in the early stages of considering what changes to make and has not determined what action to take or what penalties might apply.

Senator Brandis said he was concerned that the success of Baz Luhrmann’s film The Great Gatsby “can lead to ­piracy of the film, placing the sustainability of our screen ­industry at risk”.

One option is for the Government to provide a “legal incentive for an internet service provider to co-operate with copyright owners”.

This may include looking carefully at the merits of a scheme whereby ISPs are required to issue graduated warnings to consumers who are using websites to facilitate piracy,” he said in a speech to the Australian Digital Alliance Copyright Forum.

Senator Brandis said the government could give the Federal Court explicit powers to have third-party injunctions that forced internet providers to “take down websites hosting infringing content”.

phillip.hudson@news.com.au