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David Shaw - possibly because the police hadn't the resources or the expertise to handle this. 10-12 years ago I was advising an internet provider about this sort of thing (and its liability) and the law was pretty vague (notwithstanding the Protection from Harassment Act). We used to refer some stuff to the police, as suggestive of criminal activity, but nothing further was heard - had there been investigations/prosecutions, one would expect my clients to have been asked for material, a question they'd probably have referred to me (Californians though: the legal mindset there is - was - akin to the Raj in 1890, so not necessarily!)

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