The main problem is the lack of quality English footballers, the government and the FA need to heavily invest in more youth academies, and they should ban English club sides from having their youth academies in other countries. While they are at it they should put more funding into sport psychology, because it's clear that English players have a fear of failure, and when things go against them they let their heads drop. Then we need a long term manager, at least then the players will know if they are fit they will play, and that no matter what happens the rug won't be pulled from under their feet for the next tournament.
DD - interesting you linked to that video, it shows what England lacks, PMA, positive mental attitude, when you're down you need to constantly tell yourself you can win, the moment you drop your head and start thinking "oh no not again" then you might as well not play.