I'm a heavy lastFM user and yet used none of these functions that they are removing. For me my iPod/netbook fills the role of loved tracks and playlists. I'd rather not waste bandwidth streaming tracks which I already have on various devices.
Unless I'm mistaken you can currently still operate an unsecured access point in the UK. The legislation was originally part of the Digital Economy Act however I can't spot anything expressly forbidding operating one.