Brit, I can't comment on the breeding of the dogs in the UK. I can comment only on what I've seen all my life based on what happens in dog shows in Brazil and what I hear from my mom. And all my life I heard that you should not inbreed dogs in normal circumstances.
My grandmother was a breeder. She was always getting new dogs from all over the world to bring in new blood to her dogs. And she didn't even show her dogs, though they all had pedigree.
If there is a problem with inbreeding, I believe the SPCA should work in conjunction with the FCI (Fédération Cynologique Internationale ) to educate the Kennel Clubs and their members so a feasible solution is reached that'll make everyone happy.