MADRID Jan 19 The Valencia regional
government is negotiating with Formula One chief Bernie
Ecclestone to try and cut the cost of staging the city's grand
prix, president Alberto Fabra said on Thursday.
According to local media, the heavily-indebted Valencia
administration pays around 20 million euros ($25.6 million) to
stage the European Grand Prix and agreed a 10-year contract last
However, the region is under pressure to make deep budget
cuts as part of a wide-ranging austerity drive by Spain's
central government and Fabra said he was seeking "a substantial
"We are looking at various alternatives that do not
constitute a significant outlay," he told Spanish radio.
"At the same time, they would have to serve as an attraction
so that a lot of people come to the region," he added.
"We need to find this balance which will be attractive in
the current conditions."
Fabra's bid to cut the cost of the Grand Prix has reportedly
created a rift between the regional government and the city
administration, led by Valencia Mayor Rita Barbera.
The city has said that the race brings in revenue of 55
million euros and Barbera believes attracting visitors is even
more important in a time of economic hardship.
($1 = 0.7802 euros)
(Reporting by Iain Rogers, editing by Alan Baldwin; To query or
comment on this story email firstname.lastname@example.org)