Silverstone gets cash boost

Eurosport - Sun, 24 Feb 23:41:00 2008

Under-fire Silverstone has received some good news as it bids to retain the British Grand Prix, after a profit of £1.3million was shown to have been made during the 18-month period up until the end of 2006 - in a climate where the majority of grands prix fail to break even.

That contrasts sharply with the £2.6 million loss recorded the previous year and, better still, comes before the record ticket sales prompted by Lewis Hamilton fever in 2007 and 2008 have been taken into account. The figures relate to a timeframe that covered the races in 2005 and 2006, before the McLaren ace made his Formula 1 debut.

The report was revealed by the Independent on Sunday, with the 'Home of the British Grand Prix' having made a gross gain of £13.6 million over the aforementioned period - £1.3 million after tax. According to the circuit's accounts, turnover hit £52.6 million and the British Racing Drivers' Club (BRDC) - which owns the track and its facilities - has amassed some £12 million in the coffers.

It is a particularly encouraging sign for Silverstone, which has been repeatedly criticised by the sport's supremo Bernie Ecclestone in recent months. Its current contract to host the British Grand Prix expires next year, and Ecclestone has made no bones about the fact that should a significant improvement to facilities not be made before then, the venue stands to lose the race [see separate story - click here].

A major, £25 million redevelopment of the circuit's infrastructure is set to include the construction of a new pit and paddock complex, a business and educational park, two hotels and new homes, and the plans have recently been ratified by the local council. The project similarly has the influential backing of Sports Minister Gerry Sutcliffe.

Ecclestone had also accused the Government of not lending enough support to the retention of the British Grand Prix, with the Independent claiming that whilst other circuit promoters pay up to £20 million for the right to hold a race - particularly those in the 77-year-old's new favoured area of the Middle and Far East - Silverstone gets away with paying just £8.5 million.