I'd agree that your problem probably has nothing to do with VM.
My tracert to usenet-news' server:
Tracing route to newsfarm.ams2.highwinds-media.com [69.16.176.253]
over a maximum of 30 hops:
1 <1 ms <1 ms <1 ms my.router [192.168.1.1]
2 8 ms 9 ms 7 ms 10.11.120.1
3 9 ms 8 ms 9 ms gsr01-bt.blueyonder.co.uk [62.30.64.193]
4 9 ms 10 ms 9 ms 195.188.230.85
5 36 ms 34 ms 41 ms aztw-t3core-1b-ge-010-0.inet.ntl.com [80.1.240.1
29]
6 31 ms 30 ms 29 ms bir-bb-b-so-110-0.inet.ntl.com [213.105.175.161]
7 32 ms 30 ms 29 ms nth-bb-a-so-100-0.inet.ntl.com [62.253.185.105]
8 37 ms 36 ms 33 ms nth-bb-b-ae0-0.inet.ntl.com [62.253.185.118]
9 * * * Request timed out.
10 14 ms 13 ms 15 ms 212.250.14.126
11 20 ms 23 ms 25 ms unknown.hwng.net [209.197.1.198]
12 21 ms 22 ms 43 ms unknown.hwng.net [209.197.1.202]
13 37 ms 21 ms 24 ms 5-1.r1.am.hwng.net [69.16.191.121]
14 26 ms 27 ms 28 ms ar1.am2.hwng.net [69.16.191.118]
15 25 ms 25 ms 27 ms 69.16.176.253
Trace complete.
I do wonder about the first line of your tracert however (timing out to your router, I'd guess).
Probably worth powering down everything and then turn on each device in sequence (modem, router, pc) allowing each to 'settle' for 30 seconds before the next bit of kit.
If the problem persists, I'd recommend you try a tracert to news.virginmedia.com and contact TS if it's as bad.