I believe this topic is not new we had discussion about this many times in past, First a post reported by Barry at Seroundtable and later at Google Webmaster Chat, JohnMu said something similar.
However, JohnMu replied on my post and said its nothing like that and Google might consider the point about Case Sensitive SERP’s in future, If it helps users in getting some relevant results.
Looks like the testing is still going on … as a Webmaster reported similar issue at DigitalPoint.
See these below SERP’s:
For Police Watches at Google.co.uk (Click the image to see the full version):
For police watches at Google.co.uk (Click the image to see the full version):
So, can you see police.it running up a down and watchshopuk.com getting additional benefit in below query ?
Note: I’m signed-off from any of the Google product, btw my personalized search is off.
If you have noticed something similar, Then please report the issue to me 
It will help in understanding the results more !!
Forum Discussion at DigitalPoint
