Due to confidentiality undertakings, the folk at Silverstone are not allowed to talk about what is going on in relation to a possible sale of the facility to Jaguar Land Rover. However, I believe negotiations have moved beyond exploratory conversations and while there is still no certainty a deal will be done, there is sufficient interest for the British Racing Drivers’ Club, which owns the track, through its Silverstone Circuits Ltd subsidiary, to host “a forum” for its members on February 24 to discuss the potential of a sale and to explain the implications of such a move. If things develop favourably, it is possible that there would be an Extraordinary General Meeting of the club as early as March 16, to decide whether or not to push ahead with a sale.
The BRDC board of directors used to have a mandate to sell the circuit without needing to consult the membership, but this ran out in the summer of 2013. Any new sale plan must now be approved by the members. In recent times, some have argued that the circuit should not be sold and should remain independent unless there was a significantly good offer, such as a private-equity-backed deal that was discussed, but never completed, in 2014.
Since then there has been new management at Silverstone Circuits Ltd and financial progress has been made. However, there is little doubt that the circuit business is a high-risk enterprise and the BRDC has no cash reserves to fund future development, or to provide financial support if there are problems. The fees required to host Formula 1 races continue to rise each year and the track has a contract until 2026, although there are believed to be break clauses ahead. In some respects, Silverstone is in a strong position because there are no realistic options for a British Grand Prix, despite some carefully-nurtured rumours about alternatives. There has even been the absurd suggestion that the Formula One group has a right to veto any sale of Silverstone. This is clearly not true. The Formula One group could cancel the British Grand Prix contract if there was a new owner that it did not want (or if it felt that it might be able to get a better financial deal), but it is unlikely this would be a wise move, as it is very clear the race makes little financial sense at the moment and the danger is that Silverstone might simply tell the Formula One group to take a hike. That would allow the club time to build up financial reserves, but it could mean the end of the British Grand Prix, at least in the short term. If that happened, the Formula One group would be in for some pretty serious discontent from the F1 teams, although circuit negotiations these days must be viewed against the background of the ongoing power struggle between the group and the big teams. The calendar remains an area over which the Formula One group has control and it can use this as a way to pressure the teams. Ferrari has adopted a robust attitude towards the sport and it is perhaps no coincidence that the Italian GP is in difficulties. The German GP, a race dear to Mercedes, has an uncertain future and the British GP, deemed important by the majority of the teams, might also find itself caught in the crossfire. The circuits have considerable potential power in F1 politics, but do not currently use this because they are too busy fighting one another for events.
If the track is sold to JLR, it would likely be leased back to the BRDC and things would continue much as they do now, except that the new owner would be able to build new facilities on the site and would have more access to the various circuits, for car-testing purposes. It is unlikely that JLR would want to have anything to do with questions about the British Grand Prix, but while this may not appeal to the BRDC, the fact remains that if the club remains the owner of Silverstone, its financial status will continue to be precarious. Most races get financial aid from governments but this is unlikely to happen in Britain because of previous problems, and politicians will not want to be accused of spending public money that serves only to increase the profits of the Formula One group.
joeblogsf1 
I think Silverstone has been through most possible iterations and combinations of ownership over the years. It has always seemed to be on the verge of bankruptcy through hosting the GP. Forced to borrow millions to enable the modernisation demanded by Bernie, then to borrow to pay Bernie and that in arrears! To me it has lost its charm and character, You mentioned the Weaver trench a few days back, that was only possible while the last corner was a flat out wiggle through the chicane. In the years before Vale was put in was one of, if not the, fastest track in the world; now the fast bends have been tamed th eold pits had character as did the mess of huts behind where a bacon sarnie and tea could be had at normal prices. Now it may be functional and clean but its in the wrong place half way round the rack and looks like it will take off in a high wind. (indeed it did try to last year)
So if JLR or Tata to be more accurate do buy it, will they use it to test? I doubt it because Gaydon is very much more private.
What happened to the Donington improvements? Did they make it up to GP standard? There is a new track being built in Wales apparently, why??? Does no one study marketing any more?
If you hark after a bacon sarnie I suggest you take a trip to Lydden Hill early one Sunday morning (when they have something on) and have a Breakfast Baguette from the ladies in the converted railway carriage. However if you are competing note that said BB adds a considerable weight penalty to your car/driver package 🙂
Do they still do ralllycross at Lydden? Pity its not on the telly, used to be good.
Actually am trying to loose weight! But sounds very nourishing.
I think they do. It got some coverage from Top Gear a while ago. It was a few years ago but I was lucky enough to do some sprints there. The BB’s were a welcome treat after an early start.
If all the circuits joined together they could wield some power. Maybe not enough to counter the Machiavellian Prince of Darkness himself, but at least to ensure their own survival. Or is that too easy??
The main problem is that they don’t want to, and everyone is on different contract length so it would take a while before they could negotiate as a block
^ This. All F1 capable tracks around the world (how many can there be?) should unite in solidarity. They should for the FOCA (C=circuits) and negotiate with Darth Eccelstone via a single fee, paid out in installments throughout the year to the commercial rights holders. And if they are all members, and the cost isn’t viable, they can tell BE to go pound sand. To me, the circuits should be able to hold all the cards when it comes to negotiating.
The Glorious Pyongyang Grand Prix gets more likely every day.
If Silverstone is sold off and the BRDC continues to be responsible for hosting the F1 race and paying the fees, how are they better off? Any increase in fees will be passed on to the BRDC through their lease with the new ownership group.
I’m sure the BRDC are looking for some stability, but why would any new owner voluntarily accept escalating fees from Bernie as a purchase condition?
Makes no sense.
The circuits have no power so long as the teams are bound by contract.
Might be the right time for Silverstone /BRDC to walk away from the clutches of CVC/Bernie and transfer the British GP to the WEC for starters……the uproar would be fascinating to view!
Hmmm… Never thought I’d agree with someone suggesting the end of the British F1 GP, but yes, it’s probably time that various people began to tell CVC/FOM/Bernie where to poke it.
If this was a catalyst for the demise of F1 as it currently is, then so be it to allow for some much healthier creation to rise from the ashes.
>>but yes, it’s probably time that various people began to tell CVC/FOM/Bernie where to poke it.<<
Italy – Monza may get there before the UK! The alternative is the grim reaper calling time on Bernie. But many dominoes are now stood up waiting for a push.
I wasn’t suggesting the end of the British GP, but just that the BRDC call time on BCE and say approach the WEC and run a 3 hr WEC race and call it the GP! There’s no other circuit Bernie could use for the GB round and he’d get huge flack from the teams….sponsor problems etc, and if France held WEC GP, and Germany too, and then some other European circuits, at sensible spectator prices, there might then be a series that could attract fans and casual viewers for 2-3 years before Bernie’s CVC Circus imploded financially, at which point these circuits could get cheaper F1 back?
If fans also turned their backs on Bernie & Co then the process wouldn’t take very long. Finances would fall, and indy teams would have to try the WEC out, manufacturers would flail CVC & Bernie, as there wouldn’t be enough people looking at his product anymore…..this would work, as even CVC needs people spending, and can’t run a series with 6 or 8 cars and no audience and as a result of that, no tv either.
Brutal and risky, but 3 hr sprint WEC races would be good, there used to be sprint sportscar races in Germany, with single driver Porsche 962s etc, and they were fun.
Gosh !! Sounds like a storm is coming !!
“The circuits have considerable potential power in F1 politics, but do not currently use this because they are too busy fighting one another for events”
And, there it is in a nutshell. Circuits of the calibre of Silverstone or Monza should, in my opinion, be being paid by F1 to appear there.