In order to host a grand prix, circuits must pay a hosting fee to F1, so just how much does it cost to host a race?

Formula 1’s revenue streams come in through various different channels.

Some of it comes through sponsor and partner deals with multi-national companies who want to advertise their product to a worldwide audience in the millions.

A large chunk of its income also comes through race hosting fees – hence the desire from CEO Stefano Domenicali to expand the calendar to as many races as possible.

Circuits wanting the honour of hosting a grand prix need to pay a hefty amount into the F1 coffers. This money, along with the sponsor income is then used to pay the teams their prize money at the end of the season.

But just how much does it cost to host F1 races? What are the race hosting fees circuits must pay?

Photo by Peter J Fox/Getty Images

How much F1 races cost

As countries fight to secure a slot on the calendar, they offer F1 extraordinary race hosting fees – with the championship all too keen to open its wallet.

For example, despite the multitude of concerns about Saudi Arabia, the race promoter pays a hefty $55 million (£42.7 million GBP) race hosting fee.

As long as countries are willing to pay such fees, F1 will race there, sometimes at the expense of fan favourite locations such as Germany.

As per Racing News 365, the races in Saudi, Azerbaijan and Qatar all pay $55 million USD.

Photo by Clive Rose – Formula 1/Formula 1 via Getty Images

The cost of other countries’ race hosting fees ranges from $50 million USD (£38.8 million GBP) for China to $15 million (£11.6 million GBP) for Monaco.

The cost of an F1 race at Silverstone is $25 million USD or £19.4 million GBP.

In total, if added together the total cost of hosting F1 races is somewhere near the $700 million USD (£544 million GBP) mark.

Photo by Silverstone Circuit via Getty Images

Links to ticket prices

As the race hosting fees are so high, circuits need to make their money back somehow.

The easiest way for them to do this is through ticket prices to the race.

It would simply be bad business for a circuit/promoter to pay the cost of a hosting an F1 race and then not get some money back.

However, not all races pay hosting fees.

For example, such is the importance of the two new races in the United States in Miami for 2022 and Las Vegas in 2023, F1 itself is stepping up and taking the races on.

In other news, Has Rihanna ever performed at the Super Bowl before?