F1 parties reach agreement

The threat of a breakaway Formula 1 championship has ended, after the sport's major engine manufacturers reached an agreement with Bernie Ecclestone and the shareholders of the company that owns F1's rights

F1 parties reach agreement

The GPWC was formed by five major F1 manufacturers - BMW, DaimlerChrysler, Ferrari, Ford and Renault, because they were unhappy with the distribution of the revenue generated by F1.

However following a series of "constructive agreements", the group has now signed a memorandum of understanding with Ecclestone and the shareholders of SLEC - the holding company which controls the rights to the sport.

The key points of the agreement include:

Teams will benefit from "significantly" increased revenue over that currently provided by the Concorde Agreement.

Three GPWC directors will be represented on the board of SLEC, enabling the manufacturer group to "contribute its expert knowledge to the sport and to support its long-term success."

Ecclestone will continue to serve as the CEO of Formula One Administration, ensuring that he will continue to run the sport for the foreseeable future.

A definitive agreement between the parties is being prepared, and is due to be signed in the middle of next year. As part of the overall solution the current Concorde Agreement, which expries in 2007, will be extended.

"Obviously my main interest has always been to secure the long-term future of Formula 1," said Ecclestone. "With an amended and extended Concorde Agreement about to be signed, and a general consensus on the key issues, I am very optimistic."

GPWC chairman Professor Jurgen Hubbert said: "This memorandum of understanding incorporates GPWC's core objectives and is in the very best interests of the teams and the fans."

shares
comments
Wilson Looking to America after F1 Snub

Previous article

Wilson Looking to America after F1 Snub

Next article

Carmakers, Banks Agree on Future of F1

Carmakers, Banks Agree on Future of F1
Load comments
The unexpected benefit of F1’s sprint race repeat Plus

The unexpected benefit of F1’s sprint race repeat

OPINION: Formula 1's sprint race trial at Silverstone drew mixed feedback on Saturday, but there remained the true test of how it would impact Sunday's Grand Prix. While fans were busy marvelling at Fernando Alonso's progress, a key lesson was being learned that would directly contribute to the dramatic lap one clash at Copse the following day

Formula 1
Jul 22, 2021
The off-track considerations that led to F1’s Hamilton/Verstappen Silverstone shunt Plus

The off-track considerations that led to F1’s Hamilton/Verstappen Silverstone shunt

OPINION: Formula 1’s 2021 title fight turned ugly last weekend when Max Verstappen and Lewis Hamilton collided at the start of the British Grand Prix. Verstappen thankfully walked away unharmed, but this had been a clash long-since coming

Formula 1
Jul 21, 2021
Will 2022's all-new cars look like F1's concept model? Plus

Will 2022's all-new cars look like F1's concept model?

Formula 1 provided its clearest example yet of what the 2022 cars are set to look like when it presented a full-scale concept to the world during the build-up to last weekend’s British Grand Prix. Underneath the special shiny livery was a design that hinted at the future, but teams will be digging into key areas that may reap differing results

Formula 1
Jul 20, 2021
British Grand Prix Driver Ratings Plus

British Grand Prix Driver Ratings

The 2021 British Grand Prix will live long in the memory for the dramatic clash between Formula 1's two title protagonists, which opened the door for other drivers to capitalise. One did so in spectacular fashion, while others fluffed their lines

Formula 1
Jul 19, 2021
How Leclerc almost defied Hamilton after F1 title rivals’ Silverstone clash Plus

How Leclerc almost defied Hamilton after F1 title rivals’ Silverstone clash

A poor start for Valtteri Bottas and the lap one clash between Formula 1's 2021 title protagonists gave Charles Leclerc a surprise lead in the British Grand Prix that he almost held to the end. Here's how the Ferrari driver came close to a famous victory, ultimately denied by a recovering Lewis Hamilton three laps from home

Formula 1
Jul 19, 2021
The signs that suggest Mercedes can win the Silverstone F1 race Plus

The signs that suggest Mercedes can win the Silverstone F1 race

Red Bull and Max Verstappen scored an early blow against Lewis Hamilton and Mercedes at Silverstone, with sprint qualifying race victory. But that doesn’t mean Sunday’s grand prix is a foregone conclusion. Although Verstappen starts as the favourite, here’s why Mercedes still holds hope of winning

Formula 1
Jul 18, 2021
Uncovering Silverstone's engineering secrets for F1 success Plus

Uncovering Silverstone's engineering secrets for F1 success

Formula 1 returns to Silverstone this weekend, but despite its familiarity to all the teams it is no picnic. Here are five of the key points for engineers to consider prior to the British Grand Prix

Formula 1
Jul 16, 2021
The changing faces of F1’s British GP conquerors Plus

The changing faces of F1’s British GP conquerors

The British Grand Prix is where the world championship began in 1950. STUART CODLING looks at six of Formula 1's era-defining cars which have all scored memorable victories in its original race

Formula 1
Jul 15, 2021