The FIA says it has signed a new Concorde Agreement with the Formula 1 Group

FIA: Has signed new Concorde Agreement

"The agreement reached by the FIA and the Formula 1 Group in July 2013, setting out the framework for implementation of the Concorde Agreement for the period 2013 - 2020, has now come into force, following the approval of the respective governing bodies of the signatory parties," a statement on the governing body's website read.

"This agreement provides the FIA with significantly improved financial means to pursue its regulatory missions and to reflect the enhanced role undertaken by the FIA in the Motor Sport. The parties have agreed a strong and stable sporting governance framework which includes the Formula 1 Group, the FIA and the participating teams. The agreement lays down solid foundations for the further development of the FIA Formula One World Championship.

"Now that the agreement is operative, the parties will move towards the conclusion of a multi-party Concorde agreement."

The new agreement is coming together after a protracted period of negotiation and, as the statement says, puts in place a new framework of sporting governance for Formula 1. The hope is that the new rule-making process - with a simple majority vote - will be easier than it has been in the past.

The Concorde Agreement also dictates commercial terms. However, mention that it is not yet "multi-party" suggests that all the teams have yet to sign up.

Although the previous Concorde deal expired last year, every team bar Marussia has in the meantime agreed individual terms with Bernie Ecclestone, CEO of the Formula 1 Group.

FIA President Jean Todt said: "We can be proud of this agreement, which establishes a more effective framework for the governance of the FIA Formula One World Championship. The FIA looks forward to continuing to fulfill its historic role as the guarantor of both regulation and safety in F1 for many years to come."

Ecclestone added: "I am very pleased that the agreement between the FIA and the Formula 1 Group has been concluded".

The announcement comes on the day the FIA's World Motor Sport Council meets in Dubrovnik, where besides dealing with matters such as the ratification of next year's calendar, it is also expected to discuss how it might spend its increased share of the sport's revenues.

David Ward, who is standing against Todt in the FIA presidential election later this year, said in a statement that they should be invested in grass roots motorsport.

"The final conclusion of the negotiations over the Concorde Agreement is a very positive development for the FIA. This is a solid achievement by Jean Todt and I congratulate him for it. The question now is what will the new resources from Concorde be used for? The answer should be for investment in 'grass roots' development of motor sport," the statement read.

"In my manifesto I have proposed to 'use all the revenue in excess of regulatory costs of the F1 Championship for investment in motor sport safety, sustainability, solidarity funding of ASN development programmes, and for training of officials and volunteers'.

"Jean Todt has yet to publish a manifesto or explain how he will use the new funds now available to the FIA. Sooner rather than later this should be made clear to the FIA membership."