Good post Knox; it would be churlish of me to pick through it when you've evidently spent some time thinking about it and expressing your views and I agree with much of it.
Just the one point: I don't believe any amount of training can prevent all accidents; minimise them perhaps but we will still see too many cycle injuries and/or deaths.
I think we need something more radical. The complete segregation of cyclists and motorists to the extent that each has its own designated routes. Gridlock and obesity are upon us; we need to get more people cycling and that means we need to improve safety.
Sharing space with tons of speeding metal driven by people of varying abilities, eyesight, reaction times, attention spans etc is just not a safe place for a proficiency-tested 10 year old.
London would be top of the list if I had my way.