What worries me about it is how it applies very broadly, so it would mean stuff like the reddit piracy megathread could be prohibited, and make it actually more difficult for people to find or discuss places to safely pirate things

Bear in mind that the people coming up with this stuff are not completely stupid. Completely corrupt and ignorant perhaps, but not so inept that if they write legislation that strongly encourages practically everyone to use a VPN to avoid the bullshit it isn't a good possibility that their aim (or the aim of those manipulating them) is to generate excuses to eventually make easy-to-use commercial VPN services illegal. Obviously many of us could get around such a ban with ease, but the more difficult they make it the fewer people will do it. There are reasons why not every kid on your average street is an I2P user. What they can't effectively ban they'll suppress by other means.

There will be a follow up bill called Act to Mandate Aggressive Zero-Exception Bans on Anonymous Login & Secure Networks that makes VPNs, TOR, etc illegal. I think they’re working on it in the UK already.