Now they want me to talk to the Diversity manager for advice.

Any funding is good funding, but my heart sank a bit when I read the D-word. "English traditional and other traditional" strikes me as just the wrong approach - as if English traditional music calls out to pure-bred English yeomen (yeopeople?) and excludes everyone else, and an alternative needs to be laid on for everyone with migrant roots. In actual fact English traditional music is automatically appreciated by a relatively small proportion of people of any extraction - and it can be appreciated by just about everyone, of any extraction. The relationship between English traditional music and England is historical, not ethnic - it's 'our' tradition in the sense that we live here.