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Boost for London as LTA pushes for tax rules change

Roger Draper is confident of securing a tax exemption for current players © Getty Images

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British tennis chief Roger Draper has confirmed that the Lawn Tennis Association is in talks with the government to secure a tax exemption for players to boost hopes of keeping the ATP World Tour Finals in London.

UK tax laws, which mean foreign sports stars pay taxes on their worldwide endorsements, have seen world record holder Usain Bolt snub London's premier athletics event.

Rafael Nadal recently turned his back on the AEGON Championships after signing a deal with the Gerry Weber Open in Germany, admitting that he was "losing money" by playing in the UK.

"They [HMRC] take from the sponsors, from Babolat, from Nike and from my watches," he said.

But LTA chief executive Draper remains confident of bringing about a change in tax laws, and is hopeful a tax exemption for the year-end championships, as well as other major events such as Queen's, will be announced in Chancellor George Osborne's budget statement in March.

Working in the LTA's favour is the fact that the controversial tax rules were waived for prize money earned by Barcelona's footballers in the Champions League final at Wembley.

"It's a question of getting the right time to sit down with the ATP to have discussions," Draper said. "The player tax issue has got in the way and we want to have that issue out of the way. We've been having high-level discussions with the prime minister, the chancellor and treasury minister David Gauke.

"There will be a budget statement in March and hopefully we will hear whether we have got the tax exemption. The Government are taking it seriously and we are very hopeful but there are no guarantees.

"We are also doing an impact survey. If we lose events like this it will have a big impact not just on the economy but also on sponsors and television and in other areas."

The ATP World Tour Finals moved from Shanghai to London's O2 Arena in 2009 on a five-year deal, and it has been an overwhelming success with sell-out crowds, and it is popular with players given its proximity to Paris, the final regular ATP Tour event of the season.

The event has been linked with a return to the USA, and also Brazil, but American Mardy Fish, making his debut in London, believes the event should stay where it is.

"They love tennis here," he said. "I love playing in this country because they know so much about tennis. They're very respectful. So I think it's in a pretty good spot right now."

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