I think there are some excellent musicians working in England doing almost wholly or at least mainly folk.

The whole of Waterson-Carthy
The various Coppers.
Nic Jones is to some extent back
John Kirkpatrick
Martin Simpson
Jon Loomes
June Tabor
Karine Polwarts
Several threepenny bit players whose names escape me - not my thing but one's jaw drops to hear them


I'm sure I could go on. But it's not necessary.