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MELBOURNE - The Formula 1 Grand Prix is in danger of being dumped by the Victorian government because of soaring costs.
The grand prix report tabled in state parliament yesterday showed revenue fell from A$47.5 million in 2006 to A$43.4 million this year.
The event cost more than A$78 million to stage, with the government picking up the tab for the shortfall.
The losses were attributed to dwindling ticket sales and sponsorship revenue, the News Limited reported today.
Premier John Brumby said outside Parliament that the grand prix remained a great event for the state but it needed to pay its way.
A decision on whether Victoria will bid to host the race after its contract ends in 2010 is due in the next few months.
"I think the two tests post-2010 are firstly, does it remain a good event for the state and secondly, can we secure good value for money?" Mr Brumby said.
News Limited said Mr Brumby's comments marked a shift from the outright support given by previous premier Steve Bracks.
It also showed how seriously the government is considering walking away from the race if costs become too high.
- AAP
