I think the issue for those of us moving from XP to Win7 (rather than Vista) is that Win7 is not as resource efficient as XP. As Andy pointed out: not a great surprise given the 7 year gap between OSs and therefore the assumed Computer capability. Essentially I was working on what for XP time was an extremely powerful machine but for Win7 era just a decent workstation.
It IS still strange that the issue appears to be with disc streaming rather than CPU - well certainly in my case. The CPU does not get beyond 40-50%. And changing buffer to even the highest makes zero difference (all of this a summary of my posts above)
What has improved the situation for me - although nowhere near up to the same level as on XP - is to stripe two discs (I did so on Win7 rather than at the BIOS level but I may go back and do that in case I get any better improvement). This has meant that rather than before, changing buffer size actually makes a difference so I would suggest that the disc streaming was the issue.
I would recommend trying that - after all discs are extremely cheap now.
It's just odd that Win7 does not seem to stream from disc as effectively as Xp!
Steve