Permane on Gulf GP Return Amid €100m F1 Revenue Hit

Context The two Middle East races were called off due to regional instability, removing high‑value events from the calendar. Their absence reduces income from race‑hosting fees and related broadcasting rights, directly affecting the sport’s central revenue pool.

Key Facts Alan Permane, sporting director of Racing Bulls, said Formula 1 is keeping an eye on the calendar and remains hopeful that one or both Gulf Grands Prix can be rescheduled later this year. He noted that the cancellation of two Grands Prix significantly impacts team budgets, as the loss of race‑related income outweighs savings from reduced travel and logistics. A report cited by Auto Motor und Sport estimates the missing Bahrain and Saudi Arabian events could cut roughly €100 million from Formula 1’s annual revenue.

What It Means With about half of F1’s revenue distributed to teams, the €100 million hit translates into multi‑million‑euro shortfalls per outfit, pressuring budgets already capped at €135 million. Permane added that while teams save on flights, hotels and cargo when races are omitted, the overall financial balance remains negative. Rising fuel costs linked to the Middle East conflict are expected to further increase operational expenses later in the season, affecting the budget cap.

Watch for any official announcement on rescheduling the Bahrain or Saudi Arabian Grands Prix and for updates on how teams adjust their spending amid the revenue loss and rising fuel prices.