Walkinshaw says Arrows are safe from extinction

The arrows team principal, Tom Walkinshaw, claimed last night that he had broken a deal to save his team. It appears he has satisfied Cosworth that he can pay the $4.7m (£3.2m) he owes for engines, a pledge that clears the way for his cars to compete in tomorrow's British Grand Prix at Silverstone.

The agreement stood in the way of Arrow's participation in practice and qualifying today and so staves off the immediate threat of extinction. Walkinshaw said: "It's looking good. We'll be racing."

Walkinshaw spent yesterday in talks with Niki Lauda, the head of the Ford racing operation that includes Cosworth, and Bernie Ecclestone, the man in charge of Formula One's commercial affairs.

Although Ecclestone offered Walkinshaw words of support, he also maintained that Arrows' demise would have scant effect on Formula One. He claimed another team would be willing to step into their place.

Ecclestone said: "I hope Tom survives. There is a lot for him to sort out. All we can do is hope he does get it sorted out and that he is here for qualifying. He is a racer, the sort of guy we need in the sport. But companies are disappearing all the time. It happens in life. I don't think it would make any difference to Formula One if Arrows went."

He said big-name teams, such as Brabham, Lotus and Tyrrell, had gone but the sport managed to continue. "If the worst happened to Arrows I guarantee you would see their place taken by someone else next season," he pointed out.

Max Mosley, president of the FIA, had a similar view. "It's very sad for all the people concerned because of all their had work," he said. "But in the 32 years I've been in Formula One, up to 60 teams have gone out of business and been replaced by other teams."