Daniel,
Here's output from last night from a utility called pingplot. It shows the ping times and packet loss at the various hops along the way.
rget Name: www.runnersworld.co.uk
IP: 217.169.41.158
Date/Time: 17/09/2007 21:31:50 to 17/09/2007 21:33:45
Hop Sent Err PL% Min Max Avg Host Name / [IP]
2 47 0 0.0 7 31 10 62-31-63-1.cable.ubr12.azte.blueyonder.co.uk [62.31.63.1]
3 47 0 0.0 7 160 15 [62.30.64.35]
4 47 0 0.0 13 76 20 80-192-0-1.cable.ubr01.azte.blueyonder.co.uk [80.192.0.1]
5 47 0 0.0 14 224 24 aztw-t3core-1a-ge-010-0.inet.ntl.com [80.1.240.69]
6 47 0 0.0 13 57 17 win-bb-a-so-200-0.inet.ntl.com [213.105.175.157]
7 47 0 0.0 17 32 22 gfd-bb-b-so-100-0.inet.ntl.com [213.105.172.130]
8 47 1 2.1 13 67 18 gfd-bb-a-ge-000-0.inet.ntl.com [213.105.172.5]
9 47 10 21.3 75 98 81 [213.152.245.49]
10 34 33 97.1 128 128 128 so-1-1-0.mpr1.lhr3.uk.above.net [64.125.27.222]
11 47 8 17.0 75 119 83 so-1-0-0.mpr1.lhr2.uk.above.net [64.125.28.38]
12 47 5 10.6 79 129 87 [213.152.245.100]
13 47 11 23.4 79 190 87 [217.169.37.156]
14 47 10 21.3 80 273 102 ge-9-1.bailey-pe-3.bis-internet.co.uk [217.169.35.10]
15 47 13 27.7 80 259 92 [217.169.38.138]
16 47 14 29.8 80 226 91 mailold.magicalia.com [217.169.41.158]
You may want to cut and paste it into notepad for fixed-width font. It shows that packet loss was nearly 30% last night, which is absurd.
By all means have a go at VM, the ticket number is 546408. The actual problem seem to be either with above.net or with the connection between VM and above.net.
If you need any more info or evidence just let me know.
Good luck!