Details about text messages, phone calls, emails and every website visited by members of the public will be kept on record in a bid to combat terrorism.
The Government will order broadband providers, landline and mobile phone companies to save the information for up to a year under a new security scheme.
What is said in the texts, emails or phone calls will not be kept but information on the senders, recipients and their geographical whereabouts will be saved.
Direct messages to users of social networking sites like Facebook and Twitter will also be saved and so will information exchanged between players in online video games.
The information will be stored by individual companies rather than the government.