Weelittledrummer, what is your problem? Why do you continue going to folk clubs if you hate the old songs so much? If I understand you correctly, your definition of folk song is different from everyone elses - so why not call it something else and start your own club?
You also seem to be suggesting that a person can only appreciate/sing songs which are relevant to his/her own time and place (I seem to remember that when Ewan MacColl suggested that people only sing songs from their own backgound he was damned for all eternity!).
Actually, I like lots of music which is not from my own milieu - I wasn't brought up in Mitteleuropa in the Eighteenth century but I like Mozart; I didn't experience New York in the 1920's but I'm fond of Gershwin; I wasn't a black slave or labourer in the Deep South of America but I appreciate Blues and I wasn't an exile from Anatolia in Piraeus but I love Rembetica etc., etc. But my first love is English traditional song and I have friends who share my passion - and if that offends you WLD, tough!
Actually, I have spent the last 30 years in Manchester which has produced loads of very fashionable popular music in the last few decades - frankly none of this stuff is to my taste and it doesn't speak to me or move me like English trad. song does. I'm sure you don't approve of that WLD - but again, tough, and please feel free to call me all the names you like.