Mulch for clay

I dug up a section of my lawn, which on inspection is a thick clay! I dug in sand and compost in an effort to improve it which has worked to a point, and have also planted several plants which are doing really well, but the soil looks like a bog in stark contrast! Are there any good ideas for an attractive mulch that will also improve the soil? I was thinking of bark or something similar.
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try well rotted leaf mould and garden compost and dare I say it peat and keep digging.My soil is very heavy clay and it has taken years of input to the stage it is now where when not sodden it is very good but it needs consent in put and breaking up.I include seaweed ,comfrey ,nettles and drowned weeds,its certainly a challenge.
As well as all of the above,well rotted manure, grit, coarse sand and gravel will help. If you can improve drainage you will reduce waterlogging but you need to work out where the water is coming from before you spend a lot of money and effort. A small stream runs across the top of my garden so obviously, draining it isn't possible. If you aspire to a lawn, hire a hollow-tine aerator, then brush in compost and grit. The longer you do all this, the better your soil will become. If you want a decorative mulch, bark chippings are attractive but expensive.
Thank you guys!
I have dug some more compost in, and added a layer of decent top soil too. Hopefully we'll have a beautiful flower bed by July!