Move *data only* hard drive to new machine, retain permissions

Try xcopy in the command window.

example:
xcopy c:\olddocs c:\newdocs /O /X /E /H /K

These switches have the following effects:
/E - Copies folders and subfolders, including empty ones.
/H - Copies hidden and system files also.
/K - Copies attributes. Typically, Xcopy resets read-only attributes.
/O - Copies file ownership and ACL information.
/X - Copies file audit settings (implies /O).

You could use the command to copy to a flash drive or external drive, and then use it again to copy to the new machine. Or temporarily move the old drive into the new machine and copy it from there.


Source: http://support.microsoft.com/kb/323007

Ideally, I want to avoid having to copy the files - just move the drive from the current machine to a new one.

Ah. So these users, are they local to the machine, or domain users? I'm assuming local users...

Yes, they are local users (and groups). I'm guessing I'd need to move them across first?

Can you still log into windows on the original pc?

Yes - it's just an old 2000 machine we run as a file server. All our work files are stored on the drive that we now want to move onto a newer, more powerful machine running XP.

Both machines are running fine.

NTFS?

Same accounts on the existing machine and this one?

If the two above are true, then you should not have a problem. The NTFS format stores the ACLs on the file system so you should be OK just dropping it in.