The current contract with Melbourne to host the Formula One Grand Prix expires in 2015. A statement from Melbourne’s Lord Mayor, Robert Doyle, published on the weekend speculates it is highly unlikely the Victorian Government will bid for the rights to host the race beyond the current deal.
Writing for the Sunday Herald Sun Doyle said, “Fast forward to 2015, the year the franchise ends. Though the documented benefits for the city may include hundreds of millions of dollars of advertising value, tens of millions of dollars of local revenue, an event that will draw between 250,000 and 300,000 people over three days will come at a cost that will approach 70 million taxpayer dollars.
“It is the old argument: pay up front but get many times the value of the upfront payment in downstream economic benefits.
“For most events that formula is persuasive. But $70 million?”
Doyle concludes with an even more frank assessment, “My judgment would be: Get ready. Time’s up.”
Ultimately the decision to seek an extension to the current deal rests with the new Victorian Premier Ted Baillieu and his government. Controversy and Albert Park have gone hand in hand for most of race’s history in the Victorian capital. Would it be a prudent political move for Baillieu to announce his political leadership with a strong statement by snubbing F1?
So, if Melbourne lost the Grand Prix and it went elsewhere in Australia, would that be okay? What if the race was shipped off overseas for good? Let us know what you think.
[Source: Sunday Herald Sun]
13 replies on “Lord Mayor expects no Grand Prix for Melbourne after 2015”
I’m an F1 fan, but really, an economic benefit to the state/country at $70Mill ++, c’mon. Our economy can’t compete with those of our newly wealthy neighbours…
yes I think it would be good if it went somewhere else. Maybe back to Adelaide or if Eastern Creek gets done up.
Don’t really know of anywhere else that could run a GP in Australia.
With local government elections due this year the pollies are going to test the waters on this issue, the next State election is due in 2014.
I guess if the Victorians don’t want the GP in their back yard, then the pollies will probably have to listen.
Albert Park is a great track, so it will be a shame to see it go. At least the attendances should be up for the next 5 years!!
Yes, good spot with the council elections Tom. I suspect Doyle can test the waters here, possibly win a few friends, without really upsetting the apple cart.
I will not be voting for him, thats for sure. He’s smart though. Greens won the seat of Melbourne in the federal election so the likelihood is that voters in city of Melbourne are anti GP given F1 is somewhat anti Green message.
I’m going for the first time this year, but to be honest, it probably wouldn’t be the end of the world if it wasn’t renewed in 2016.
I just worked out yesterday that living in Brisbane it’s actually cheaper for me to go Malaysia for the Malaysian Grand Prix, than it is to go to Melbourne for the Australian Grand Prix. That includes tickets, flights, accommodation etc.
Even if Melbourne don’t renew, there are other options. Last year there were reports of Calder Park being totally redone to Grade 1 FIA standard, and there has been talk for a while of Eastern Creek also being done up to a Grade 1 FIA standard. Not to mention currently the Grand Prix is held in a park; plenty of parks, and roads in Australia, means plenty of potential venues.
The word is that Victoria will now be wanting to steal the Tour Down Under from Adelaide having previously stolen the AGP from Adelaide and stuffed it up. We won’t be making the mistake of letting that happen again with an event that is even bigger and better than F1, and we probably won’t bother taking the AGP back again either. While I would like to be able to go to a local AGP again, F1 has changed too much in the last 15 years and it won’t suit coming back home to Adelaide.
I understand that people are a little peeved at the expense of the temporary street circuit, however, I don’t understand why the money couldn’t be spent on upgrading the pit complex at Phillip Island, as that track is one of the best in the world, its just the facilities are not at FIA standard…
Greatest show on earth but economically you can’t help but feel Bernie’s been reaming everyone for decades.
lets face it, Australia hates motorsports… well atleast that what our politicians beleive
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