The Young 'Uns, are pretty ace, while the Unthanks lasses Rachel & Becky both consider themselves at least semi-Teessiders and I'd recommend The Wilsons too - down to 4 now but still making a mighty racket. Also Ken Wilson (the brother now working solo) has a wonderful voice.
All of the above have many Teesside songs in their repertoire, and are genuinely good folk.
I'd also highly recommend going to the Chapel on the last Friday of each month - a wonderful folk club, run by someone of this parish. I took a guest down a few months ago - she's highly experienced and well traveled - and she was completely blown away.
Lastly, there'll be plenty local talent to see and hear at the end of May at the first Hutton Rudby Folk Fest, held over a long weekend.