Club football is club football. Why does it matter where the players are from...
I think all this stuff said about it damaging the England team is rubbish. If English players are good enough they will get in a team. Look at Brazil, Argentina, Holland etc etc. Lots of their players play for top clubs outside their own country - English players are unwilling to move abroad even though it many cases it would help them become better players.
Also, it seems that players are often willing to put money over the guarantee of a first team place. Look at players like Scott Parker (when he went to Chelsea), Shaun Wright-Phillips, Darren Bent - all players who moved to bigger clubs when they were doing very well (and playing every week) - and now they aren't playing every week but are getting paid more money.