Formula 1 and Silverstone have agreed a deal for two grands prix to be held at the track this season.
Owners the British Racing Drivers’ Club and F1 had been far apart in their assessments of an appropriate fee for the track to host the events.
But a compromise agreement has now been reached after negotiations this week.
However, a new threat to the races has emerged in the UK government’s plans to impose a two-week quarantine for all international arrivals.
Silverstone managing director Stuart Pringle told BBC Sport: “I am delighted to confirm that Silverstone and Formula 1 have reached an agreement in principle to host two races behind closed doors this summer.
“However these races will be subject to government approval, as our priority is the safety of all involved and strict compliance with Covid-19 regulations.
“I would like to thank all our fans who have been so supportive throughout this and to assure them we are determined to do all we can to help Formula 1 put on a show this summer.”
An F1 spokesman said: “We are continuing to have conversations with Silverstone and other promoters regarding a revised 2020 calendar.”
Quarantine rules complicate matters
F1 is trying to secure an exemption for its staff from a new rule that international travellers must go into a 14-day self-isolation period upon returning to the UK.
The government has not defined when that will come into force, saying only that it will be “soon”, but if it is imposed without exemptions it threatens the return of all elite international sport this summer.
The issue for F1 is that seven of the 10 teams have bases in the UK. And beyond the problems of staff travelling internationally from race to race, the cars have to return to their factories periodically in between races, especially if they are involved in accidents.
To work around a two-week enforced quarantine period would mean that any races at Silverstone would have to take place with that period on either side.
That is problematic for F1 as the sport seeks to achieve its aim to hold a world championship with 15-18 races starting with two races on consecutive weekends in Austria on 5 and 12 July.
Under current plans, the races at the Red Bull Ring would be followed by two events at Silverstone, if F1 can find a way around the quarantine restrictions.
Earlier this week, the chances of British races had receded when it emerged that Silverstone had been asking for £15m to host the two events.
That is exactly the same amount as it would have paid for its fee to host the race under normal conditions.
F1 had waived the fee because it was asking Silverstone to host races without fans, and had offered to ensure that the track was not out of pocket.
A number of British-based teams had been in touch with F1 to express their concerns about developments, feeling that Silverstone was being unreasonable.
But the financial impediments to the races taking place have now been removed.
More to follow