In 1987 psych-pop group The Chemistry Set contributed a track to the Imaginary label's tribute to Syd Barrett. I first heard of this record, Beyond the Wildwood, because one of the earlier Ric Menck recordings is on this. It's a cover of "Golden Hair" credited to The Paint Set and it's also included on the Ballad of Ric Menck compilation - a hodge-podge of Springfields and Choo Choo Train songs with a few rarities thrown in. The Chemistry Set recorded a version of "See Emily Play" and very good it is - you can now download it from here. Judging from the new original they just put up, a new album might be something to look forward too!
A group I came across purely by chance (mentioned in a review of the Airfields album) is The Whitsundays. They're from Canada too but take their cues from The Zombies and We the People rather than The Field Mice. They recently had a self-titled debut out on Friendly Fire and it's definitely worth its price of ten dollars. One of my favourites on it is in the player just now. Otherwise I can't wait for the new releases on Slumberland (Crystal Stilts and caUSE co-MOTION! albums, POBPAH and Sexy Kids seven-inches!) and the reissue of Vivian Girls' lp.