I have no clue as to Lord Reith. In the U.S. we had regulations that concerned broadcasting - an attempt to offer all viewpoints and to make it feasible for non-commercial stations with marginal audiences to exist. All of that went out the window with Reagan's push for deregulation, starting in the 1980's.   Now, public radio stations are competing for funds - which means donors or larger audiences.

I agree that the purpose of folk clubs is not just "bums" on seats - that was what I was trying to point out with my note about Mike Seeger. It is extremely important that they be heard and have a stage to share their art and history, but it needs to be done logically.

Perhaps the old models do not work and new stages need to be found when the "folk club" model that you have in England is not working. You can do something for the finest principles, but if no one shows up or the venue is losing money, an alternate must be found.   Perhaps churches can offer rooms or other community centers that do not rely on putting "bums" in seats.

The majority of our "folk clubs" are held in such establishments - no alcohol is present.   Believe me, I'm not a tea-totaler, I even brew my own beer, but what we have are "listening rooms" where the attraction is the music and other distractions are not present.

It's a cliche, but you need to think outside the box. Don't moan the old lightbulb, try a new LED and see how it works.