Did Christian Sylt and Caroline Reid deliberately set out to scare potential investors to death? They certainly did me! Their article (July issue) on the way F1 business operates pointed up some harsh facts, and, as they say, something will certainly “have to give” in due course. Other quotes from the article include “many teams are still struggling financially” and “F1’s circuits have had financial troubles even when the economy was booming”.
So the two key players in the production are struggling. That just leaves the commercial rights owners making consistent profits, and if they are able to negotiate terms that include annual circuit fee increases of “between 5 and 10 per cent” — even in times of almost zero economic growth — this will surely be even further destabilising. I was brought up to believe good business requires that something remains in it for everyone. Perhaps the FIA should be asked to comment on what might become quite an issue for its sport.
M Knight, Ascot, Berks