THE BBC has pulled out of a deal to broadcast Formula One motor racing as part of attempts to save money.
The corporation is ending its contract three years early.
Channel 4 will take over the rights from next season, having struck a multi-million pound deal to air 10 races a season.
It has also pledged not to show adverts during the live races.
The move comes as the BBC faces a £150m gap in its finances from next year. As part of the savings, BBC Sport was asked to make cuts of £35m.
Barbara Slater, director of sport, said: "The current financial position of the BBC means some tough and unwanted choices have to be made."
There was speculation that the broadcaster may have to drop its high-profile coverage of the Wimbledon tennis championships as part of efforts to make savings.
But Ms Slater said a "significant chunk of BBC Sport's savings target will be delivered through the immediate termination of our TV rights agreement for Formula One".
"Any decision to have to stop broadcasting a particular sport or sporting event is hugely disappointing and taken reluctantly," she said.
"There are no easy solutions; all of the options available would be unpopular with audiences."
BBC Sport took over Formula One rights from ITV in 2009, but has been sharing broadcasts with Sky Sports since the 2012 season as part of money-saving plans.
Bernie Ecclestone, chief executive of Formula One, said: "I am sorry that the BBC could not comply with their contract, but I am happy that we now have a broadcaster that can broadcast Formula One events without commercial intervals during the race.
"I am confident that Channel 4 will achieve not only how the BBC carried out the broadcast in the past, but also with a new approach as the world and Formula One have moved on."
