Supercars alone has the option to extend its deal to race in Newcastle for another five years, but City of Newcastle says it is "common sense" the motor racing organisation will not do so without the council's support.
City of Newcastle chief executive Jeremy Bath told a council meeting last month that the new council, to be elected in December, would decide in 2022 whether to keep hosting the race.
"There is an option ... for a further five years, and that will ... be a decision for the next council which will be done with significant community consultation and will undoubtedly be influenced by the success of the next Newcastle 500," he told the September 28 meeting.
The final race under the council's five-year agreement with Supercars will be from March 4 to 6.
Mr Bath's comments prompted speculation City of Newcastle and Supercars had secretly changed the terms of their 2016 "services deed" to give the council some say over whether the race continued.
The 2016 contract says, in part, that "V8SCA may, at its discretion ... extend the term of this deed for an addition 5 years ... on the same terms and conditions".
But Mr Bath told the Newcastle Herald that that part of the services deed had not been changed and the council's interpretation was that it was "common sense" that Supercars could not extend the race without City of Newcastle's permission and cooperation.
"Frankly, what would be the point without an agreement [from City of Newcastle] to extend the race," he said.
Newcastle has not hosted a Supercars race since late 2019 due to the coronavirus pandemic, and next year's event has shifted from being a season-ending round to a season opener.
In the news
- Cessnock woman in her 30s dies with COVID in John Hunter
- Trains to resume 'within hours' as police deal with Newcastle coal train protest
-
Metford school, Bellbird pub among latest COVID exposure sites
- Teenager suffers severe burns at Raymond Terrace
- Addictive and dangerous drugs lost or stolen from Hunter hospitals
