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When funding for Sports UK (nee Sports Council) was transfered to the lottery, it was made clear that funding would change. Of course this didn't affect motorsport, they had none. Many other non-olympic sports were cut to nothing. Olympic sports have increasingly been paid for results, no money to improve poor performers.
Most motor racing circuits were owned by companies, clubs, or individuals. Silverstone, despite being a company is essentially run for the BRDC benefit. Hasn't changed much from, for example, no or 1 motorcycle event.
So why should motorsport, BRDC, and silverstone get funding now. There are many sponsorship and scholarships in the 'industry' already for drivers, any government/sports UK to organisers, regulators and circuits, as others point out, is supporting companies and as often pointed out, a profitable industry.
Situations have existed before like this with other sports. Think of Tennis. The premier event, Wimbledon was held at a private club who took t