Is this the way to do it?

[Groupie]

Connect two PCs thro BT Hub. One windows 7 (PC 1) one XP. (PC2)
PC 1 connected to hub by ethernet cable PC2 connected to PC1 also by ethernet cable .
Or is there a better/safer way too do it?

[daffy654]

The BT hub should have more than one ethernet port, you would be better off connecting both PCs separately with their own ethernet cables to the hub.

[ChuckFickens]

Yep ↑

Not sure why you'd even think to connect them like that (and I doubt either of the PCs has two network cards to enable them to be connected like that), plug them both into the home hub, it should have four ports on the back.