One option is to get rid of your network team.
Seriously though, I have worked with this same type of setup through VMWare and it wasn't much fun. The only reason why I did it was because my boss thought it might be worth a try. Since I was newly hired, I didn't object. However, after several months of programming this way, I told him that I preferred to have my development studio on my machine and he agreed.
First, the graphical interface isn't really clear with a virtual workstation since it's sending images over the network rather than having your video card's graphical driver render the image. Constant viewing of this gave me a headache.
Secondly, any install of components or tools required the network administrator's help which meant I had to hurry up and wait.
Third, your computer is going to process one application faster than your server is going to process many apps and besides that, it has to send the rendered image over the network. It doesn't sound like it slows you down but it does. Again, hurry up and wait.
Fourth, this may be specific to VMWare but the virtual disk size was fixed to 4GB which to my network guy seemed to think it was enough. This filled up rather quickly. In order for me to expand the drive, I had to wait for the network admin to run partition magic on my drive which screwed it up and I had to have him rebuild my installation.
There are several more reasons but I would strongly encourage you to protest if you can. Your company is probably trying to impliment this because it's a new fad and it can be a way for them to save money. However, your productivity time will be wasted and that needs to be considered as a cost.