Well, I can provide some history here.

Lord of the Dance ALWAYS ends the first act in the many annual performances of the Christmas Revels around the country, going back to its founding by John Langstaff, with a show in 1957 in New York, and revived by his daughter Carol in 1970 in Cambridge. THere are now companies in something like 14 or 15 cities. The last chorus is repeated over and over, with the brass quintet, and the audience knows from experience to get out of their seats, take hands in long lines, and be led, largely by morris dancers, dancing all around the hall. It is a really treasured tradition for long time Revels goers.

But that being said, there has been a lot of discussion of this issue, and a significant part of the Revels audience (certainly in NEw York but also elsewhere) is Jewish. Regardless of Sydney Carter's intent, which I profess not the slightest knowledge of, some audience and potential audience DO take real offense at this song. John (Jack) Langstaff was really quite upset at understanding that the one verse in particular could easily be taken in a quite offensive way, especially given the history of the last 2000 years.

As others have noted, the most difficult verse is
"I danced on the Sabbath and I cured the lame,
The holy people said it was a shame.
They whipped and they stripped, and they hung me on high,
And they left me there on a cross to die."

I always knew (I am Jewish, though not particularly religious in any formal sense) that the obvious reading of this verse is that the Jews killed Christ. I too also chose to interpret this as the priests, but not the people, but that does not end the difficulty.
About 15 years ago, I proposed an alternate wording to Jack:

I danced for the people and I cured the lame,
The high and mighty said it was a shame.
They whipped, etc. . . . . . .

This has to the best of my knowledge become the standard text in the Revels performances. It makes it into a class distinction, instead of a sectarian distinction. I have no idea what Carter would have thought of it, I wish I could know. It is a lot more comfortable for me, and for quite a few others that I know.

If any of you have never seen the song done in a Revels, try to get to one if for no other reason than to see the Morris dance that was written to go with the song, written by Carol Langstaff, with help from Shag Graetz and I think Jonathan Morse. It is a remarkable thing, and I think a very effective visual for the song.

Jerry Epstein,
once upon a time Music Director of Revels-New York.