Hi keepercool - to anwer your question.... The money you pay in as a stake each week, is paid out in prizes each week. So... where does the prize money for the Main Event come from? Rileys put it up! If you feel insulted that a total of over £13,000 is put up out of your £3 fee, I can only suggest that you consider the economics again.
Riledys pay for the prize money in the Main Event from the fees players pay each week and when the number of players declines due to market forces and general leisure trend, then the prize money is bound to be affected. Poker in Rileys clubs is a commercial operation and whilst Rileys do their best to encourage participation, the number of entrants cannot be guaranteed - but the prize money IS!
A live final was organised after players fed back a preference to an online one. Sorry you feel that this is 'a joke' but the only way to finance a live final is to pay for hosting. This, of course, has to come from somewhere too!