We present a systematic study of the electronic structure of strained LaNiO thin films. We show that biaxial compressive strain mainly elongates the outer apical Ni-O bond while leaving the inner apical Ni-O bond nearly unchanged. As a result, the Jahn-Teller splitting is strongly enhanced, whereas the interlayer hopping changes only weakly. Since superconductivity is widely believed to emerge only below a critical in-plane lattice constant, our results identify the strain-enhanced as the relevant microscopic tuning parameter. Consistently, the calculated Fermi surfaces and Hall response for LaAlO and SrLaAlO substrates agree with ARPES and Hall measurements. Our results identify Jahn-Teller distortion as a key tuning parameter in strained LaNiO and support its central role in optimizing superconductivity in bilayer nickelates.

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