Motor Racing: Arrows fail to pay entry fee

The cash-strapped Arrows team's participation in next year's World Championship could be threatened by their Formula One rivals even if their owner, Tom Walkinshaw, pulls off a late rescue deal. They had until yesterday to pay the entry fee of around £200,000 for next year's championship and the indication from F1 sources last night was that the money had not been forthcoming.

But even if Walkinshaw does come up with the money, the chances of his team reappearing on the grid in 2003 still look slim.

Arrows said earlier this week that they were in talks with a company called German Grand Prix Racing, who were apparently prepared to inject "substantial new equity", but if there were to be a rescue deal, most of the other teams probably would claim that a new team had been created. If so, the new owners would have to lodge a bond of about £33m with FIA, the sport's world governing body, before they could take their place on the grid.

Even if it was deemed there was no change, Arrows could still be refused a place in the championship. The team missed six of the last seven races last season because of their cash problems and that is understood to have revoked their rights under the Concorde Agreement, which governs the sport.