I haven't noticed an increase in Lulwuts so much as I have an increase in non-English speakers. Every time I pirate somebody on the League, I get a "I don't speak English so good", to which I grumble and let them on their way. League decree, you see, but its still frustrating that 3/4 traders doesn't speak the server language.
-Edit- Otherwise we fancy the ever-dead Bretonia region, and thus it doesn't really matter so much as to which messaging we use. Generally if there's a bunch of people (i.e. Leeds) that day, I'll spout off some jabber in system, but otherwise its just local because I like the shade of blue... And because he is one of two people in system besides us.