BAT bids farewell to Formula One

It will also mean the end of the company's links to motorsport dating back to the 1960s.

The company will honour its commitment to leave F1 by the end of this year, in accordance with the International Marketing Standards which it voluntarily subscribed to in 2001.

"We are very proud of the team's sporting achievements and wish them every success in the future, but our time is over," said marketing director Jimmi Rembiszewski.

"Public opinion and many of our stakeholders no longer think it is appropriate for F1 to be sponsored by the tobacco industry. We have listened to their views and agree."

BAT was the founder of the British American Racing team in 1997. The company sold its 55 percent majority share to Honda late last year.

Rembiszewski added: "For many years now, our marketing strategy has been moving away from relying on mass media as we believe it more important to focus our efforts on the point of sale in the outlets that adult smokers use."