I'm willing to bet this accusation is just a result of the MPAA paying parliament off. I can't be the only one to notice the conveniency of this timing: parliament made this statement just one week after the MPAA.
Mass internet piracy is a result of a bad corporate image. As Kevpc has pointed out, if the entertainment industries would quit trying to bully their own customers, and start listening to them, this wouldn't be happening nearly as much. However, this news article is just one more form of proof regarding one simple fact: they won't listen anytime soon.
"The continuing promotion of illegal content through search engines is simply unacceptable, and efforts to stop it have so far been derisoryâ€. Google isn't really promoting anything. If Google wanted to promote piracy, they'd simply create a skull-and-crossbones doodle, with a screentip telling content holders to suck it. Needless to say, Google has never done anything like that, and I seriously doubt they ever will.