Rally Sweden’s financial crisis has escalated, with six of the Swedish Automobile Sports Federation’s (SBF) 12 regional associations calling for the federation to distance itself from the event and demanding an extraordinary general meeting. The growing dispute has raised further questions about the rally’s future and the way it is currently organised.
The six associations – Upper Norrland, Central Norrland, Lower Norrland, Southern Sweden, Gothenburg and Western Sweden – have jointly expressed a lack of confidence in the federation’s board, accusing it of failing to take the necessary financial responsibility for the situation surrounding Rally Sweden. Their demand for an extraordinary general meeting reflects the increasing frustration within Swedish motorsport over the handling of the event’s finances.
Rally Sweden is organised by Rally Sweden AB, a company owned by the Swedish Automobile Sports Federation. The company has been facing serious financial difficulties, with debts running into millions of Swedish kronor. Earlier reports revealed that funding intended to support future editions of the rally had been used to cover financial obligations from previous events, raising concerns about the sustainability of its current business model.
The criticism from the regional associations is particularly strong regarding the federation’s involvement in the event. They believe that the SBF should not be responsible for running a rally organisation or repeatedly covering its financial losses, arguing that its primary responsibility should be to represent and protect the interests of its members.
Central Norrland representative Per-Erik Norbäck described the situation as critical, pointing to what he considers a long period of poor management, unsuccessful business decisions and continuous financial losses. He also stressed that the money involved belongs to the federation’s members, making the current situation even more concerning.
The associations believe that the federation should sever its ties with Rally Sweden and that the event should instead be managed by an independent external operator. According to Norbäck, organising motorsport events should not be the responsibility of a national federation, but rather of specialised companies, as is the case in many other countries.
From their perspective, finding a new ownership and organisational structure is now essential. Norbäck has even suggested that the federation needs to get rid of Rally Sweden, although the precise way in which this could happen remains unclear.
The latest developments follow reports that Rally Sweden AB has accumulated substantial losses, while attempts to find a new owner have so far failed. Negotiations with a group of investors from Umeå reportedly broke down in September, leaving the event’s ownership and financial future unresolved. The company’s difficulties have also been linked to the costs associated with relocating the rally from Värmland to Umeå, where the event has been based since 2022.
Despite the growing uncertainty, Rally Sweden remains part of the 2027 WRC calendar, with the event scheduled to take place from 18 to 21 February. However, the latest dispute within Swedish motorsport raises serious questions about whether the current organisational structure can remain in place.
With six regional associations now openly challenging the federation’s leadership and calling for a complete change in the way the rally is managed, the pressure on the SBF is increasing. The coming weeks could prove crucial in determining whether Rally Sweden can find a sustainable financial solution and secure its long-term place in the World Rally Championship.
Source: RallyJournal.com
Photo Credits: M-Sport
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