interesting thread......
you very rarely see steel frames here in Germany. those that you do see are usually old rickety things with shopping baskets and a rack or dirt bikes.
i ride a DB Alpine and over here it really is one of a kind.
we were talking the other day as a friend of ours wants to come riding with us. one guy suggested a 100mm XC FS, the other a 80mm HT and i suggested a HT with 120mm-ish and got laughed at by all three. one guy said that anything over 100mm on a HT was over kill. the other that 120mm was only for FS.
i'd also agree that most riding here is either on a saddle up-head down xc HT or big'un bouncy FS. there doesn't seem to be much inbetween other than 100mm FS xc rides. oh, and steel is massively frowned upon as it weighs "alot". there are a few German designed frames built to take a 140mm fork (liteville 101, 800€ frame only) but they are few and far between.
i'd also suggest - certainly where i am currently - that even for those with 'proper' bikes their idea of biking is riding long stretches of fire road. there is a serious glut of single trails. but then on the other end of the scale there are quite a few bike parks around here. i recieved a few funny looks when i turned up on my Alpine, although there was one other guy on a HT and he was verdammt schnell.
the same can be said when last year a mate and i rode across the alps. not one single steel frame. quite a few XC HTs and plenty of racey FSs. they may have been quicker than me on the climbs (much quicker than my mate with his 150mm FS - he was walking up, mostly), but they were soon caught on the downs where they were either mincing down with the saddle slapping against their spinchter or sinply carrying their bikes down/across the techy, steeper sections.
needless to say one mate has caught the LT HT bug (from me) and is now the proud owner of a 456 with a Lyrik. he rants and raves about sections of trail that now "come alive" whereas on his FS he found them dead or boring. he also shouts about how he can actually get uphill without having to push the last 20m.
i think most "designed in the UK" ideas are just common sense. why restrict your tyre choice or encourage dirt/muck to enter the seat tube?