Following demands and threats made by Bernie Ecclestone, Silverstone has been renovated under the auspices of the BRDC (British Racing Drivers Club) and have a contract for the British GP until 2025. However, the investments have been large and Silverstone’s plan to sell of other assets to fund this programme has failed.
Silverstone has failed to pay FOM for its hosting fees in 2015 and is saddled with debt which analysts believe is unsustainable. The Times is however reporting that Jaguar have entered the fray to discuss taking ownership of the famous Northamptonshire circuit.
“We continue to assess investment opportunities to increase our presence in Britain, said a spokesman for Jaguar / Land Rover. “This assessment is ongoing and covers many opportunities, but it remains confidential at this stage.” The BDRC’s position is simple as beggars can’t be choosers.
In a statement this week, the BDRC said: “The BRDC considers approaches that are made by parties interested in the resumption of the Silverstone circuit for its part the valiant English club. If an attractive offer presented itself, we could take it into account but it will be to club members decide. The key is to ensure the sustainability of the track and guarantee the future of the Grand Prix. “
I wonder why anyone would be interested in buying at race track in this day and age, especially one that can’t pay its bills. I may be missing something, but all of the major race series, in my understanding, are losing fan base. NASCAR is removing seats from tracks in large numbers, F1 viewers/attendance is dropping quickly, Indycar is stagnant and NHRA is running on empty. I can’t imagine that things are much better in Europe, Japan or Australia, which with North America accounts for most of the premier racing series in the world. We are all dealing with aging populations and the older you get the less time you have to waste with bullshit. I know that I lose interest, listening to rich guys fight over money and power, very quickly and that is what F1 has become, money grubbing and bickering. The word racing gets used less and less when the powers that be are talking about F1, it’s “the show” or “entertainment”, they have forgotten good racing is a show that is very entertaining. When I turn on the TV race day, I don’t care about celebrities, fancy motor homes, road safety or glitzy facilities, I want fair competition between independent constructors. Instead we get sizzle with no steak. Here we are, a couple weeks after the season and I can’t think of a memorable race. It was the worst season I remember in quite awhile.I don’t know if I actually even enjoy it anymore or if watching is just habit. Personally I don’t think we are to many years from the end of F1, they have forgotten what they are selling and who their consumers are.
I am guessing that the reason that they cannot pay their bills is because with the best of intentions they have prostrated themselves on the altar of F1. Silverstone has long been the most sensible place to hold the GP and the BDRC have tried to accomodate this for the greater good. However, with ever increasing amounts being milked from the sport it was probably no longer a viable proposition without sufficient other income to balance the books. Add in the recession in 2007 and the writing was probably on the wall. From a purely business point of view they should probably have given up on hosting the race on CVC terms. I expect other promoters will go the same way for the same reasons. F1 may become the sport of despotic countires if the European democracies are priced out if it! Anyway, it will be interesting to see if JLR want to subsidise the British GP because that might be the only way it could continue. I’d have thought Bernie might want to buy the place too – after all he owns Paul Ricard and maybe others
LOL, Ecclestone doesn’t have to pay for GP’s at his tracks, so they likely make money. From Grand Prix to Despot Derbies.
nothing left to add to one of the best and most prophetic responses EVER on this site !!! from a fan since 1962 who did not care one iota about missing a number of FP1 and FP2 broadcasts in 2015…
In American Western movies, it was the Cavalry coming to the rescue. In this case, it’s the Indians (Jaguar is owned by Tata, IIRC.)
Yh. Funny to hear JLR looking to “… increase their presence in Britain.”
Baffling! Silverstone hosts F1 and MotoGP, record numbers the last few years, and yet it’s full of debt. It stinks at the top, at FOM level. Even if Jaguar take over they’ll sell after a few years again and BRDC will try come to the rescue…again!
“Welcome to the 2016 Jaguar Land Rover Formula One Grand Prix. From 2017, the race will be off -track; we’ll be bunkrupt and be running across the Northamptonshire countryside; Land Rover will provide the chassis for all F1 cars.”
I believe that Jaguar want to build a ‘Heritage Centre’ and probably think Silverstone woud be a good place. Personally I think it is too much ‘back-of-beyond’ and they would be better off near a city with good transport links though Gaydon Museum seem to have done OK in the sticks. I believe they have about 50 old jags in storage though some are loaned to various museums at times. They had a small heritage centre at the old Browns Lane plant but had nowhere else when that closed. They are pushed for space at Castle Bromwich so it probably would not be built there. By the way, I recommend the free factory tour of the Castle Bromwich Jaguar factory. You can book a date by phone and they take people round in small groups – there were 8 when I went. You get to see nearly all of the production process (excluding paint shop) and a cup of tea half way round.
Not so long ago the details of the Silverstone contract were posted here.
TBernie Can Cancel Silverstone
From the above: “This year, the fee was £16.08m and Silverstone did not have the money; so uncle Bernie kindly deferred the payment until 2016.” By the end of the contract it will be £26.2m.
To sum up the situation, the current fee is £16.08m, deferred until next year when the hosting fee will increase to £16.884m or about £34m. There are only two places this money can come from ticket sales(can’t) or a corporate sugar daddy. Given the restrictions on advertising, why would a corporation want to sink money into a track where it can’t even advertise during it’s biggest event?