They're watching our phone calls, our emails, our online social networking habits, and now, everytime you go into a shop and buy a new mobile phone, your name could be entered into a government database.

In yet another controversial move, the Government is pushing a plan that will mean that to buy a mobile phone, punters will have to produce their passport.

And then the details will be entered into a database officials will be able to access as part of a bid to monitor criminals and terrorists.

The possible move was hinted at by Home Secretary Jacqui Smith as part of the Communications Data Bill that she unveiled last week.

At the moment, to get a monthly phone contract, customers have to provide details of their bank account, but the new move will mean that there is also information on the 40 million Pay As You Go (PAYG) mobile phones currently in use in the UK.