£25 sounds pretty reasonable to me for that sort of event.
I paid about £20 to do a half marathon run the other week. You didn't get many material goods for your money. A few small bottes of water handed out, a few portaloo toilets, a medal, your number and the use of a timing chip. There was a rolling road block at the start as the first few miles were on roads. Then it was on Redways and other roads. the timing chips cost about £10, so if you are given one of those, that will be a pretty big chunk of the money. Then there's the admin and setting up of a website. The admin for 1000 entries would be pretty considerable, I'd have thought.
I expect there is a bit of money being made by the organisers too, which I wouldn't begrudge them.
The marathon I entered cost me about £40.
My cycling clubs runs a sportive event and charges about £12 for the entry and that is run by volunteers. Some club commitee members did ask if £12 was too much and I told them how much some other sportive events cost to enter and that £12 is very cheap, especially as we also use timing chips.
It depends on what you want out of your ride. I have ran further than a half marathon for nothing, but I did enjoy running in an event. It's a lot of money if you don't have much money, or won't enjoy the event. But if you have the money and will enjoy it, then it's only money.
I don't think I would though. Personally, I think I'd put the cash in my pocket, pop over to the Cotswolds and spend it on a slap up meal