As the race weekend in Monaco approaches, the historic Grand Prix is already causing a stir. Financial news agency Bloomberg reports that Liberty Media, the American owner of Formula 1, is seeking a higher contribution for the organization of the race. The principality currently pays the smallest contribution of all the Grands Prix on the calendar, but this is expected to change after 2025.
The tiny state currently contributes about $20 million (over 18 million euros) per year to Formula 1. This amount was agreed upon in a three-year contract signed in September 2022. In return, the sport comes to the streets of Monaco for the eponymous Grand Prix. New negotiations are expected to take place this week, which could result in the principality paying significantly more for its own Grand Prix from 2026 onwards.
Monaco’s Advantage Over Other Countries
Compared to countries like Bahrain and Saudi Arabia, Monaco has a good deal – the Arab powerhouses are estimated to pay over 45 million euros for a Grand Prix. The local organizers of the ‘crown jewel’ of Formula 1 rely on the historical value of the race to keep prices down. They believe that the cultural significance of the Grand Prix outweighs the financial aspects. After all, Monaco is one of the oldest racing locations on the calendar and a significant showcase for the sport.
