Heads may roll after the troubled A1GP category was officially scratched from next weekend's Gold Coast motorsport event, prompting the threat of legal action from the Queensland Government.

The popular V8 Supercars will fill the void at the October 22-25 event, running four 150 kilometre events on the tourist strip instead of the planned two 200km races - making it the biggest touring car event outside Bathurst in terms of kilometres covered.

Queensland Sports Minister Phil Reeves ended months of speculation about the troubled open wheeler category on Saturday when he announced that A1GP organisers had confirmed they would not arrive on the tourist strip from London in time for the October 22-25 event.

The Gold Coast organisers subsequently terminated the agreement with the A1GPs for their failure to fulfil contractual obligations.

The State Government - which pumps almost $12 million into the Gold Coast event - will now "pursue legal avenues" to get back the $1.8 million they have paid A1GP chairman Tony Teixeira.

"We have been badly let down by A1GP," Mr Reeves said at a press conference on the Gold Coast.

But others may pay a price for the embarrassing no-show after event chairman Terry Mackenroth and general manager Greg Hooton said they would reassess their positions after next weekend's event.

Hooton and Mackenroth not only oversaw the deal with the A1GPs, but also the sponsorship deal with local sports drink manufacturers Nitro which subsequently fell over.

"I think A1GP's reputation has been absolutely shattered," Hooton said.

"I actually believe the series is probably not going to race this year.

"I'm disappointed, angry, upset and let down. It was all those emotions, but we have to move on."

The A1GPs were slotted into the Gold Coast program for the first time this year following the Indy series' decision to scrap their Australian leg.

But fans still consider the V8 Supercars the headliners on the street circuit.

V8 Supercars boss Tony Cochrane said at the Gold Coast that the program would now feature four 150km events - two on Saturday and two on Sunday.

Racing a total of 600km instead of 400km would require teams to dramatically change their car set-up just days before the event.

Cochrane said each race would be for championship points.

A 20-minute qualifying shootout on Sunday for that day's two races will also be added to the schedule.

While it was unclear how the change would affect corporate bookings and ticket sales, Hooton said refunds would be available.

"We certainly felt it was the right thing to do and as a show of goodwill," Hooton said.

"They (A1GPs) have let down a lot of people. They've let down the Queensland Government.

"They need to have a good, hard look at themselves."

-AAP