It appears that this story was misreported by a few sources, and the fans were flamed by UK government comments about censoring videos. Youtube has as program that lets trusted sources more easily flag videos that are then reviewed fairly quickly by YouTube staff. However, these videos still get reviewed to see if they violate any of YouTube’s terms of service, rather than automatically pulled down. It’s still concerning that the UK government seems to think that it should censor content that even they believe is not legal, but it doesn’t appear that YouTube is actually letting the UK government censor videos.
YouTube Gives UK Gov’t Broad Powers To Censor Videos It Doesn’t Like, Even If They’re Legal [Update: Or Not] | Techdirt