Segregated cycle lanes need to absolutely be a priority. I was considering cycling to work (London), and literally this morning walked outside for a break to see a load of paramedics and some poor person under a truck at the junction outside my office. Needless to say, this soured my view distinctly. City cycling in London is really dangerous, and courts are highly favourable towards drivers.
I cycle here everyday and don't find it very dangerous if you're careful. The city has done a lot for cyclists in the last years (highways are only one example) and the fatality rate is relatively stable for several years now, even though cycling numbers increase by ~20% each year.
Most lorry drivers are very aware of cyclists now, so if you don't try to pass them on the left (where they can't see you even if they wanted to), they'll be careful to stay away.
I also don't know where you get the argument with the courts from. Any evidence for that? I've never seen police pulling over a cyclists, but I've seen several occasions of police pulling over cars that stood in cyclist areas (the ones in front of traffic lights).