In a move which comes as no surprise, A1GP bosses have confirmed that the series will not compete at Surfers Paradise next weekend.

The series' participation in the Nikon SuperGP has been in doubt for some time due to the financial issues affecting A1GP, with the liquidation of the UK-based A1GP Operations back in June ultimately proving to be the straw that broke the camels back.

With the cars being impounded as a result, A1 was left unable to work on upgrading machinery ahead of the new season while a series of other financial problems have also forced series chiefs to cancel the season opener.

"I want to personally apologise to the people affected by this regrettable but unavoidable decision," A1GP boss Tony Teixiera said. "The Queensland Government, Gold Coast Motor Events Co, the management and Chairman of the event have been patient and supportive of us in the past weeks.

"We were proud to be part of what has become one of the world's most iconic motorsport events, and are devastated at the decision we have had to make. We also know the Australian motorsport fans are very protective of this event and had welcomed us with open arms. To them I also apologise and stress that we wanted to put on a show for them that they would never forget."

Teixeria also confirmed that A1GP will refund the sanction fee paid to Gold Coast Motor Events Co, and will donate AUS $50,000 to a charity designated by them. Contractors engaged directly by A1GP who have already incurred expenses will be fully reimbursed.

Despite more problems which do little to quell speculation that the series is in danger of going to the wall, Teixeira insisted that the series may be down, but it certainly isn't out.

"We have recently announced 19 teams who were ready to race in Australia," he said. "I know they are still committed to racing in our unique series that pits nation versus nation. A1GP may be down, but I do not accept we are out. We have had four exciting seasons that have proved we are a force in the sport and now we shall consolidate on what we have achieved to date. My efforts will be on finding a way forward with the support of some very loyal people."