News Summary
- Madrid’s Formula 1 Grand Prix generated an estimated €544 million (approximately US$630 million) in economic activity, according to a PwC study released by the event organiser.
- The report estimates that the event created or maintained 10,948 jobs and generated €95 million (approximately US$110 million) in tax revenue.
- Organisers reported 352,618 attendances over four days, with international visitors accounting for 35% of the audience.
Madrid’s first Formula 1 Grand Prix generated an estimated €544 million (approximately US$630 million) in economic activity, according to a PwC study published by the race organiser on November 13. The report also attributes nearly 11,000 jobs and €95 million (approximately US$110 million) in tax revenue to the event, presenting the Spanish capital’s new Grand Prix as a major economic and tourism attraction.
The findings, released by MADRING, suggest that the event exceeded its initial economic-impact projection by 16.5%.
However, the headline figure does not represent revenue collected by the race organiser, nor does it establish that the Grand Prix generated a €544 million profit. It measures the wider economic activity attributed to the event.
The distinction is important when assessing the financial value of Formula 1 races, which can involve substantial expenditure on infrastructure, organisation and public services.
Madrid Grand Prix reports €544m economic impact
According to the study, the race generated economic activity across hospitality, manufacturing, construction and other sectors.
The organiser highlighted the following figures:
| Indicator | Reported result |
|---|---|
| Estimated economic impact | €544 million |
| Above initial projection | 16.5% |
| Jobs created or maintained | 10,948 |
| Estimated tax revenue | €95 million |
| Four-day attendance | 352,618 |
| International visitors | 35% |
| Visitors from elsewhere in Spain | 20% |
The €544 million estimate is approximately US$630 million, while the reported €95 million in tax revenue is equivalent to roughly US$110 million. Both dollar amounts are indicative conversions rather than figures published by PwC.
MADRING described the result as exceeding expectations for the inaugural event.
The study also attributed €114 million in economic activity to hospitality, €86 million to manufacturing and €51 million to construction.
Those sector figures illustrate the broader scope of the assessment, which extends beyond spending inside the circuit.
International fans play major role in Madrid’s figures
Tourism was one of the main contributors identified by the study.
Of the 352,618 attendances reported across the four-day event, 35% were attributed to international visitors and another 20% to people travelling from other regions of Spain.
The report estimates that international visitors spent an average of €2,772 (approximately US$3,220) per person during their stay.
Their average daily expenditure was €591 (approximately US$685), while their average visit lasted 4.7 days.
Domestic visitors from outside Madrid stayed an average of 2.7 days, with estimated daily spending of €409 (approximately US$475).
These figures help explain why the event’s organisers emphasised tourism as a major economic benefit.
International spectators tend to generate expenditure across several sectors, including accommodation, restaurants, transport and entertainment.
However, visitor spending should not automatically be treated as additional net economic benefit without considering how much of that spending would have occurred in Madrid without the race.
Public transport accounts for most circuit journeys
The report also examined how spectators travelled to MADRING.
According to the organiser, 86% of attendees used public transport, with the metro accounting for 65% and taxis for 21%.
Another 14% reportedly travelled by car or another private vehicle.
The circuit’s location near Madrid-Barajas Airport and the city’s public transport network was a central feature of the project.
Organisers have promoted the venue’s accessibility as an advantage over circuits that require longer journeys from major population centres.
The findings suggest that transport connections played an important role in the inaugural event’s operation.
Nevertheless, the report does not establish whether the race’s total environmental impact was lower than that of other Formula 1 events.
What the PwC figures do — and do not — prove
The €544 million estimate provides a measure of the economic activity attributed to Madrid’s Grand Prix, but it should not be confused with the financial return received by the organiser or public authorities.
Economic-impact studies commonly account for spending associated with visitors, suppliers, employment and related activity.
Their conclusions depend on assumptions about which expenditure was genuinely generated by the event and how money circulated through the local economy.
The MADRING announcement identifies PwC as the study’s author and presents the principal results, but the public summary does not provide enough detail to independently reproduce the calculations.
It also does not establish the event’s net financial balance after all private and public costs.
Consequently, the reported €544 million should be understood as the study’s estimated economic impact, rather than an independently verified profit or return on investment.
The same distinction applies to the employment figure. The estimate of 10,948 jobs includes positions created or maintained, rather than necessarily representing 10,948 permanent new jobs.
Madrid seeks to establish itself on F1 calendar
The Grand Prix forms part of Madrid’s effort to strengthen its position as an international sporting and tourism destination.
According to the study, 95.3% of surveyed attendees believed the race improved Madrid’s international profile, while 98.1% said they would recommend the city as a tourist destination.
Organisers also reported that nine in ten international visitors intended to return.
Those responses indicate positive sentiment among the spectators surveyed, although stated intentions do not guarantee future visits.
The results will be relevant to discussions about the long-term value of hosting Formula 1 in Madrid, particularly as the city prepares for future editions.
For race organisers and public authorities, the central question will be whether the economic benefits identified in the first year can be sustained and how they compare with the full cost of staging the event.
GRANDE PRÊMIO is following the commercial and sporting developments surrounding the Formula 1 calendar.
