I had considered myself absolutely paranoid about referencing and have trod so carefully by NOT discussing my stuff on here. Just as well - a girl last year spoke about her diss on wordpress and used her hypothesis in her final chapter. The 'electronic reader' found it and even though she could prove it was her own words, she failed the mod.
Apparently, they will give you a slap on the wrist in the first year, but in the third, it is unlikely that will happen. Originally, if you goofed, they would get you to rewrite it and cap you at a third for that assignment. Now, it appears, they can fail you on the entire module and you will be expect to sit a bridging module during the summer. If you do it again, it is considered that you failed the year and you will have to resit the lot. If it happens a third time, you are kicked out - end of. It's really quite severe now. I feel sorry for her, as she was on target for a first - like I was a year ago. Tough call. I really hope she doesn't quit - she's a good student and I know she had her doubts on her final year at a uni.
* feeling awkward and more than a bit paranoid myself *