New Concorde Agreement Secures F1's Future Through 2030

All parties in Formula 1 have formally signed the new Concorde Governance Agreement, extending the foundational contract that binds the sport together through the end of the 2030 season. This follows the signing of the Commercial Concorde Agreement earlier this year, cementing the financial and regulatory framework for the next six years.

Why it matters:

The Concorde Agreement is the cornerstone contract that dictates the relationships, revenue distribution, and operational rules between the teams, the FIA, and the commercial rights holder. Securing this long-term agreement until 2030 provides crucial stability, allowing teams to plan major investments with confidence and ensuring the sport avoids the political infighting that has marred past negotiations. It signals a period of continued growth and collaboration for the global series.

The details:

• This marks the ninth iteration of the Concorde Agreement since its inception in 1981, with the latest version designed to build on the financial and sporting stability achieved in recent years.
• While specific financial terms remain confidential, the agreement is described by insiders as a positive step that benefits all stakeholders and improves the working relationship with the sport's governing body, the FIA.
• A key function of the contract is to define the formula for distributing the sport's substantial prize fund among the eleven competing teams after each season, a critical factor for team sustainability and competitiveness.

The big picture:

The seamless renewal of the Concorde Agreement through 2030 underscores a period of unprecedented health and growth for Formula 1. Under Liberty Media's stewardship, the sport has prioritized long-term stability and collective growth over the divisive politics of previous eras. This agreement locks in the principles of the budget cap and more equitable revenue sharing, which have been instrumental in creating a closer and more sustainable competitive field. It provides a solid foundation for the next set of technical regulations set for 2026, allowing teams to focus on innovation rather than contractual uncertainty.

What's next:

With the commercial and governance frameworks now firmly in place until 2030, the focus for all parties shifts entirely to the track and to preparing for the next major regulatory shift. Teams can fully dedicate their resources to the 2025 season and the significant development cycle for the new 2026 car and power unit specifications, all within a known and stable financial environment.