Language has always changed and evolved. In their original British origins, Brownie packs and their sixes were named after the little folk, but different words and names have different connotations depending on context. If the context in in Canada is racial, and was proving a barrier to joining for certain ethnicities, then it's right that the name should change. In Britain this doesn't affect us in the slightest.
As to Blyton, I made a parental decision to read these books to DC. They made my childhood a far richer experience, and haven't turned me into a rampant sexist or racist. But this comes with a caveat. We started by reading chapters to DC to start with, so that the more problematic areas would then open up a topic of discussion. Blyton is racist. She's sexist. She's xenophobic. She's classist. She's a roaring snob. She indulges in, on occasion, fat-shaming and the endorsement of bullying. Where these issues come up they are discussed and DC knows fine well these things are NOT okay.
Her writing does also have many positives - not least in stimulating a joy in reading and an indulgence in imagination - which are the reason DC is allowed to read them in the first place. She writes beautifully of nature and the natural world, which as a child helped instil in me a lifelong love, respect and appreciation of these things. Her escapist/adventure stories can fire the imagination of any kid. To my mind, it's her school stories that are most problematic - especially in terms of English 'values' - and I'm not sorry DC has no interest in reading those.
Had some of the language remained as originally published, I'd have made a different decision entirely. I don't want DC reading derogatory, racist language. It's right that this should have been edited out. But 'peculiar' for strange, 'Mother and Daddy' modernised to mum and dad, and similar completely unnecessarily bludgeoning of the language to make it more up-to-date, is an irritant. These books are of their time, and it's easier to show today's generation why they're of their time if most of the language is left as it is.
It also only seems to be Blyton who suffers to this extent under the censor's axe, when other authors' work has equally disturbing content.