Deal Agreed To Avoid F1 Breakaway

Eight leading Formula One teams have agreed not to launch a rival championship next year after reaching a deal with motor sport's governing body the FIA.

Ferrari, McLaren, BMW Sauber, Renault, Toyota, Red Bull, Toro Rosso and Brawn GP had threatened to set up a breakaway series.

But FIA president Max Mosley said there would be a unified Formula One series in 2010 following a meeting in Paris.

He also confirmed he would not stand for a fifth term, despite previously insisting he was not prepared to step down as part of any potential agreement.

The row between the FIA and the F1 Teams' Association (FOTA), representing the eight teams, had been over Mosley's proposed £40m voluntary budget cap for each of the constructors.

Mosley has now agreed to FOTA's insistence that the plans be scrapped.

Instead, a watered down deal over cost-cutting was reached by both sides for next season.

Mosley, 69, said: "There will be no split. We have agreed to a reduction of costs.

"There will be one F1 championship but the objective is to get back to the spending levels of the early '90s within two years."

He added: "I will not be up for re-election now we have peace."

Mosley said the deal still maintains the "financial viability" of teams which he had been targeting with the initial cap.

As part of the agreement, existing teams must help new outfits with their engines and chassis.

Following the talks, F1 supremo Bernie Ecclestone commented he was "very happy common sense has prevailed".

The meeting of the FIA's World Motor Sport Council had taken place in the French capital while FOTA had been due to meet in Bologna on Thursday to discuss their plans for a breakaway.