how are ip addys given out
 

Hi there, do NTL distribute IP addresses geographically?
Like if the numbers of an ip addy are close together does that mean that they live close together?

More or less. IPs are numbered equivilent of hostnames, and they are created in groups of areas...

For example

80.1.121.1 = public1-walt4-3-cust1.walt.broadband.ntl.com
80.1.121.2 = public1-walt4-3-cust2.walt.broadband.ntl.com
80.1.121.3 = public1-walt4-3-cust3.walt.broadband.ntl.com

And are all on the Waltham Forest London borough part of the network. Its the part of the network your connected to, not nescessarily your town. I think Coventry users are actually connected to the Birmingham network.

Nope, a relative of mine had IP very close to mine but lives a distance away. It doesn't work like that.;)