NOTE: MAKE A BACKUP OF REGISTRY FILES BEFORE CONTINUING
Steps to setting proxy internet block for a local machine registry edit
First we need to set the proxy settings for the current user

Navigate to the ‘Connections’ tab, then click on the ‘LAN settings’ button

Set the proxy server address to Address: 127.0.0.1 Port: 80

You can bypass this proxy for any desired addresses by clicking the ‘Advanced’ button and putting any domain names divided by the semi colon ‘;’ e.g domain1.com;subdomain.domain1.com;domain2.com
We next need to take a copy of this registry by exporting it from the Registry Editor via the following path
HKEY_CURRENT_USER\Software\Microsoft\Windows\CurrentVersion\Internet Settings\Connections
Click on File > Export

Save this file to desktop and then right click > edit.

Remove the other registry edit so that you are left with just the ‘DefaultConnectionSettings’ key
Before you save and close, we need to amend the file path to the new location of the LOCAL_MACHINE as shown below:

Then go to that path within registry edit and import the registry file

Reference: https://serverfault.com/questions/34940/how-do-i-configure-proxy-settings-for-local-system