The answer is very simple. Make it an offence not to give up the cyphers to any encrypted files on computers owned by you. In that way the police would have an offence with which to hold and convict people who impeded their investigation. There is absolutely no need to bring in new legislation to enable the police to hold people without charge for longer.
Anyway, the head of the met is the last person I would be listening to for advice. I read recently that he would like to extend the police powers of shoot to kill to stalker and hostage situations !! Those are not the thoughts of a rational man IMO. The man is quite clearly an authoritarian despot.
GTM