Once again, tax things you want less of and subsidize things you want more of.
It seems that due to Britain's tax policy, athletes (and performers) avoid competing there.
Few high earners in other fields would choose France over Britain on tax policy, but athletes are a different story. The British government has granted an exemption to income linked to Olympic and Paralympic competition. But normally Britain takes a cut of an athlete's worldwide endorsement earnings—that means overseas sponsors in addition to those in the U.K.—proportional to the time spent in Britain. By comparison, the U.S. only taxes nonresident athletes on endorsement fees paid by American sponsors. France does the same.
So if in a given year Mr. Bolt ran in six races, one of which was in Britain, Her Majesty's government could collect income tax on one-sixth of his total income from sponsorships. Given that Mr. Bolt's contract with Puma alone is worth $9 million annually, the final U.K. tax bill for a single London race could dwarf his appearance fee, which has been in the range of $150,000 to $250,000.