Carlos Sainz Jnr, Sebastian Vettel, Silverstone, 2020

Ferrari, McLaren and Williams sign F1’s new Concorde Agreement

2021 F1 season

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Three of F1’s longest-standing teams have announced they will continue to participate in the sport beyond this season, having signed up to the new Concorde Agreement.

Ferrari, McLaren and Williams confirmed on Tuesday they have signed the deal, which runs until 2025.

McLaren were first to publicly announce they had “reaffirmed the team’s long-term commitment to the sport.” The team entered the championship in 1968 and has the second-longest history of continuous participation in F1 after Ferrari.

McLaren Racing CEO Zak Brown said the sport has “taken another important stride on the road to a sustainable, strong future with the new agreement.”

The new agreement promises a fairer distribution of Formula 1’s prize money, which has been a source of contention under the current agreement duo to the substantial bonuses paid to some teams.

“This is the right deal at the right time for the sport, its owners, its teams and, most of all, the fans,” Brown continued.

“A more equitable sport is better for everyone: greater balance in the sharing of revenues among all the teams and clearer, simpler governance that cuts through vested interests and puts the sport first. This agreement will only make the F1 constructors collectively stronger in the long term.

“The new agreement complements and builds on the great work of F1, the FIA and all the teams during the past few months on the future financial, technical and sporting regulations. Everyone has had to give ground for the bigger outcome, which will be a more competitive, exciting and thriving Formula 1 for future generations, which in turn secures a healthy sport for both participants and fans alike.”

Ferrari, the only team to have participated in every season of the world championship since it began in 1950, subsequently announced it has also signed the new agreement.

Ferrari CEO Louid Camilleri said the deal “is an important step to ensure the stability and growth of the sport.”

“We are very confident that the collaboration with the FIA and Liberty Media can make Formula 1 even more attractive and spectacular, while preserving its status as the ultimate technological challenge,” he said.

“Racing is in Ferrari’s DNA and it is no coincidence that the Scuderia is the only team that has participated in every edition of the FIA Formula 1 world championship, becoming an integral and essential part of its success, today as in the past and, above all, in the future.”

The new agreement was also praised by Williams deputy team principal Claire Williams, who called it “a major milestone in the development of Formula One” and a “significant opportunity” for her team to “continue on our journey back towards the front of the grid.”

“The new Concorde Agreement represents a major step forward, for both Formula 1 and Williams,” she said. “As one of the sport’s longest running teams, we are pleased to see the future direction of Formula 1 confirmed for the next era of racing.

“Our expectation, aligned with Liberty Media, is that this next era will be characterised by closer and more exciting racing as a result of the new platform of regulations, which include more equitable revenue distribution and a first ever cost cap for our sport.”

Updated at 18:10 BST on 18th August 2020

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Keith Collantine
Lifelong motor sport fan Keith set up RaceFans in 2005 - when it was originally called F1 Fanatic. Having previously worked as a motoring...

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13 comments on “Ferrari, McLaren and Williams sign F1’s new Concorde Agreement”

  1. Driving around in stock car series… yeah, great!


    1. P.S. I love Mercedes, hope they and Lewis give them all the Finger.
      F1 2022 doesn’t deserve the name of F1.

      1. What are you talking about?

  2. Until 2025??? that’s hardly long term. Assuming that means to the end of 2024, that’s 4 years until they are back at the table again arguing.

  3. Even though we do not know the details, we have a pretty good idea due to @DieterRencken‘s articles.
    Based on that it seems a big step forward, and a much more level playing field (commercial & voting wise).
    I’m glad McLaren signed it. Hopefully, most other teams sign quickly to leave it up to Mercedes to either sign ‘as is’ or leave the sport.

    1. Wolff said before the weekend and after discussion with Carey that Mercedes would sign.

  4. We don’t know the details and it seems all the details have not been worked out.
    Redbull has two teams hence an advantage however the outcome.
    Ferrari always get double everyone else.
    In a Ferrari VS Mercedes VS Redbull battle, Mercedes will suddenly be fighting with only one hand.

    1. From what you’ve written, you’re right you don’t know all the details…but if you read here you will:

  5. Couple of things to read between lines. If Mercedes customers signed it means they see potential revenue coming up and long term contract with Mercedes to supply motors to backup such forecast. Ferrari will continue to hold a strong hand on F1 even if they lose. What is left for Mercedes? Toto lost this hand trying to be the center of attention. Mercedes can’t beat the marketing power of Ferrari yet and Ferrari signing means just that. Mercedes provides no drama to F1, eg no Bottas resurrection. Hamilton wins please a small sector of the audience. F1 oppressive dominance has been just a cash cow that the new agreement seeks to end. My read is that Mercedes has 50% chance to leave F1 if money isn’t there. Mercedes books can’t be baked to a extent of show profit with the new rules. Racing Point copy of Mercedes car is a plan B if Mercedes leaves. No one could take the name Mercedes but I think the staff at Brackley will Aston Martin with Toto as the CEO / shareholder.

  6. To be honest, I’m not overly surprised that it’s these 3 teams.

    There are a couple though that I suspect might still be seriously considering withdrawing completely or not signing up. It’ll be interesting to see whether or not any of those manage to get any additional concessions to keep them involved.

    1. It’s surprising to me that Ferrari has signed up this fast. Mercedes will probably be the last one to sign.

  7. Soon we will see who will drop out of F1:
    – One or both of Red Bull teams? Will Honda continue or Red Bull requires “winning PUs” to stay in F1, like they’ve said?
    – Renault?
    – Mercedes Team? (continues to produce PUs)

    Gladly McLaren, Ferrari and Williams are core of F1 and other teams can change. Let’s not forget what BMW, Honda and Toyota did when going got tough.

    1. Spoke too soon – “All 10 teams commit to F1 by signing new Concorde Agreement”
      Let’s see who will race in 2022 and who will not. I really hope the new agreement is fair(er) to all.

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