MORE than 500 workers at the Oxfordshire headquarters of the Renault F1 motor racing team are breathing a sigh of relief after it was confirmed the team will be competing next season.

Luxembourg-based investment firm Genii Capital has bought 75 per cent of the team, based at Whiteways Technical centre, near Enstone, with Renault retaining a 25 per cent shareholding.

Team president Bernard Rey said: “I'm delighted to welcome Genii Capital as our new strategic partner as I'm sure their enthusiasm and business expertise will create a new dynamic for the team, the staff, and our partners.

“Altogether, we look forward to competing again at the highest level in Formula 1.”

It is understood Genii beat a rival bid from David Richards, boss of Banbury-based motor racing engineering firm Prodrive.

The deal marks the end of a turbulent year for the team, following the Singapore race-fixing scandal which saw Flavio Briatore lose his job as team principal and the team was handed a ban which was suspended for two years by the sport's governing body, the FIA.

Since then its future has remained in doubt as rumours circulated over whether Renault would withdraw, like other manufacturers’ teams Honda and Toyota.

Meanwhile, Virgin Group boss Richard Branson said his love for engineering was a key reason for him putting the full weight of his brand behind a new Formula 1 team which is building its first car in Bicester.

Manor GP has been renamed Virgin Racing thanks to the multi-million pound backing of the Kidlington tycoon and the investment is good news for workers at Wirth Research, where the car is being developed.

Sir Richard said: “If you look at the history of Virgin, we've loved supporting technical breakthroughs, great engineers, and there's something like 120 engineers working away on this project.”