Critical F1 2026 governance agreement update as minor hurdles remain
The FIA and FOM are currently in the closing stages of negotiating the Governance Concorde.
The second half of the new Concorde Agreement coming into effect in 2026, is currently being worked out between F1 and the FIA.
The next iteration of the famed Concorde Agreement comes into force for 2026, with the teams having already signed off on the Commercial side of the new contract earlier this year.
Negotiations on the 2026 Concorde Governance continue
Additional reporting by Mat Coch
The Concorde Agreement is a contract agreed and signed between the Formula 1 teams, the FIA and Formula One Management [FOM], overseen by series owners Liberty Media, over the terms of how Formula 1 goes racing.
This is divided into two distinct parts, namely Commercial and Governance, with the Commercial side of the Agreement having already been cleared up earlier this year.
The Commercial side, put simply, essentially affords the commercial rights holder the rights to a team’s image, allowing it to sell television broadcast rights. In exchange, the CRH pays out prize money (among other benefits) based on a sliding scale defined within the Concorde.
First introduced in 1981, the Concorde Agreement is refreshed and renewed every few years, with the Agreement commencing in 2025 being the seventh different iteration.
Through the decades, the Concorde has taken on several different forms. The current unilateral agreements took effect in 2021, replacing bilateral deals that existed from 2013.
Over recent months, the Concorde Governance Agreement between the FIA, as the governing body, and Formula One Management (colloquially known simply as ‘F1’), as the commercial rights holder, has been in the negotiation phase.
PlanetF1.com understands that these negotiations aren’t yet finalised, but discussions are being carried out amicably in the spirit of cooperation and are in their closing stages.
While concerns and hurdles have presented themselves, these are being knocked down one by one.
It’s believed an accord will need to be reached and the Governance deal in place ahead of the end of the year, with the Concorde understood to encompass a number of fundamental aspects of how the sport is managed by the FIA.
That includes broad elements such as team entitlements, but also far less visible logistical items, some of which are, under the regulations, required to be sorted by mid-December.
Taking the 2025 Sporting Regulations as a guide, teams must submit their entry and pay the associated fee by the Tuesday following the season-ending Abu Dhabi Grand Prix.
Last year, FIA president Mohammed Ben Sulayem said the governing body will “never get the credit” as the commercial rights holder and race promoters have made bigger profits through the rise of F1’s popularity and the increased commercial opportunities presented across a longer calendar.
PlanetF1.com understands the governing body is seeking a more favourable financial deal for the new Agreement.
It’s a murky area, as it’s believed an annual fee was agreed between Formula One Management and the FIA when the commercial rights were first signed in 2001. That was reassessed in 2010, though it’s understood the regulatory fee itself remained unchanged at that juncture, with renegotiations taking place in 2019, where it is thought the fee was increased in exchange for additional rights for the CRH.
Under the current Concorde Agreement, the number of races has swelled to a record-breaking 24 events and, in 2025, also includes six Sprint events.
“Everybody made money out of the FIA, everyone except the FIA,” Ben Sulayem told Motorsport.com in 2024.
“Liberty Media did a great job in transforming Formula 1. If you tell me if I could go back in time, would I undo [that]?
“No way. I wouldn’t undo that, but I would just make sure that the FIA is two equals with them.”
FOM derives its income via three primary streams: race hosting fees, broadcast agreements, and a combination of corporate hospitality, trackside signage, and licensing. By hosting more events – with 24 the maximum permitted under the Concorde – the CRH is maximising its largest income streams.
However, that also comes at a cost to teams and the governing body.
While the FIA, as a non-profit organisation, has returned to sustainability through much-improved financial results over the last two years, the governing body’s desire for a bigger slice of the pie is expected to be granted, with sources indicating that, with the sport in robust health, it would be only fair for a better deal to be given to the FIA.
The hurdles to overcome have pertained to areas of compromise between the two bodies in order to maximise revenues via commercial agreements without affecting the governing body’s ability to carry out its duties.
Without the ability to add further events, FOM has looked for ways to further bolster its bottom line, which is understood has led to the FIA expressing concerns regarding over-commercialisation.
More on the FIA and F1’s governance
👉 FIA explained: What does it stand for and how does it govern F1?
👉 Concorde Agreement explained: Who signs it, what it means and why it’s vital for F1
Examples include areas such as the number of VIP passes issued for paddock and grid access. The governing body is said to have asked for improved communication regarding the sales of different type of access, as well as a cap, on this type of access in order not to compromise on safety concerns and the ability of various F1 personnel to carry out their jobs without hindrance.
For example, the FIA is believed to have been taken aback by the sudden appearance of a DHL hospitality unit in the paddock at Silverstone. The paddock is supposed to be for the teams, tyre supplier, governing body, and commercial rights holder.
The appearance of VIPs in unusual locations, such as sitting in allocated gantries in the pitlane, or occupying prime photographer locations trackside during sessions, is also understood to have been earmarked as an issue needing attention.
The FIA’s ability to deploy personnel and officials to different race weekends is also thought to be a potential explanation as to why next year’s Sprint Race calendar is yet to be confirmed, with the logistical challenge of supplying hundreds of extra personnel for a hypothetical Sprint weekend in Singapore being very different to that of one at Silverstone. Again, it’s been suggested that improved communication would reduce these hurdles.
With most of the sticking points pertaining to the FIA’s desire to be able to balance its ability to govern against commercial considerations, it’s also understood there is a desire to see greater FIA branding on what is an FIA World Championship.
For instance, at present, the backdrop of the FIA-run press conferences over a weekend, which are televised globally, contains little to no branding to indicate its prominence alongside the F1 logos.
Another area of concern is understood to relate to the relocation of various media centres and the facilities being offered. For instance, at Imola and Monza, the media have been removed from traditional centres above the pitlane to be relocated into temporary structures some distance from the paddock. At Imola, the media centre is the best part of a kilometre from the paddock.
The media centres are increasingly being given over to VIP and Paddock Club pass buyers, which is thought to be another area of contention under discussion.
Recently, the FIA announced a multi-year extension with Formula E Holdings (which is majority owned by Liberty Global, which shares common ownership with Liberty Media under John Malone), for the continued promotion of the Formula E World Championship – essentially, the championship’s own version of a Concorde Agreement.
The obstacles in Formula 1 are understood to be viewed as relatively minor overall, with both sides working hard to reach amicable resolutions.