Blame the English media, as all the frenzied hype that surrounds the English game means that it is virtually impossible for top clubs to buy the best English talent. £38m+ for Gerrard, is quite frankly a joke. Were it not for the intrusive nature of the UK media system, Beckham would never have been sold for £25m.
English + Youthful + Relatively promising = Ridiculous price tag
The top English clubs also guard their players much too strenously, compared to on the Continent - a Vieri/Seedorf/Davids scenario (top players, seemingly in a never-ending transit between Continental Europe's top clubs, season on season) simply would not happen here.
I reject the assertion that Premiership manager's don't want English players in their team. Mourinho, Ferguson, Wenger et al would all like to invest in English players. Similarly, it is the ambition (declared or undeclared) of most Premiership managers to build their team around a predominantly English fulcrum. Economics simply doesn't allow this. Buying the best English produce comes at a hefty premium, and is often simply not attainable - see Mourinho's latest comments.
As for youth investment, look to the likes of Manchester United, Liverpool and every major club. They spend millions on training facilities and coaches to promote the next generation of football. With the explosion of television revenues, clubs have more income at their disposal than ever to invest in prodigous, English talent. English youth development is at its highest point for years, the next World Cup should witness an all-singing, all-dancing England XI, complete with a host of talented under-25-year-olds.
Regarding Sven taking the top job - he was, and in my opinion still is, one of the best placed managers to take the job. If we exclude Bobby Robson (who is too old), there is a dearth of English managers of world-class competence.
Lastly, the game of football is becoming a lot more globalized - it is a business, like any other. Complaining about an influx of foreign players in the Premiership is pointless - economics demands that it happens. When 'playing an Englishman' means that you have to pay an extra £10m in fees for the privilege (if other clubs are willing to do business), or alternatively, having to play an untried youngster - most managers, reasonably, think "stuff it".
Would people like a quota system to be implemented in English football? To "preserve and promote" English talent and identity? This was tried and has been contracted in cricket i.e. it failed. Foreign players can bring a level of invention, flair and technical competence, not oft seen in English players.
I would sooner see a promising Argentine youngster playing, than a Carlton Palmer.