while on holiday in colorado last month i attended a number of poker
tournaments that were free to enter and you played for points of which
after a month if you had the most points - you won a cash prize - if
you win at the end of the season the organizers bought you a $10000
dollar seat at the world series of poker. the reason it is free is
because the organizers charge the venue (pub, bar restuarant etc..) a
fee for every player that plays poker that night. i want to start a
tournament like this in the uk. is it legal to do so?

There is an organization that has free poker tournaments almost
everyday (at least here in the Dallas area).

Check out the "Amateur Poker League"

Here is the website. http://www.amateurpokerleague.com/

Good Luck.

Sorry, I didn't see that you are in the UK before I posted my comment.
I hope you find something in your area.