Formula 1’s three most historic teams, McLaren, Ferrari and Williams, have all confirmed signing the new Concorde Agreement until 2025.
Tuesday was the first deadline to sign the new commercial deal which binds teams, the FIA and rights holder Liberty Media, though all teams now have until the end of August to make their decision after Mercedes and Racing Point voiced some reservations.
The biggest change in this first Concorde of the Liberty era is a big effort to address the financial inequality that has plagued F1 in recent decades through a more level distribution of revenue and the budget cap which comes into effect next year.
Early on Tuesday though, McLaren, who have been staunch supporters of the vision laid out by Liberty, was the first to publicly announce their signing.
“This is the right deal at the right time for the sport, its owners, its teams and, most of all, the fans,” CEO Zak Brown said.
“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.
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“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.”
Later on, Ferrari, the only team to compete in every year in F1 since 1950, added their name to the list.
“The deal is an important step to ensure the stability and growth of the sport,” CEO Louis Camilleri said.
“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.
“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.”
Finally, Williams is the most recent confirmed signatory, this at a time the team is seeking new investment to secure its financial future as well.
“The new Concorde Agreement is a major milestone in the development of Formula One and a significant opportunity for Williams to continue on our journey back towards the front of the grid,” deputy team boss Claire Williams 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.”