Honda F1 team could collapse completely

Honda have not ruled out the possibility of disbanding its Formula One team as there is still no confirmation of a new buyer, just five weeks before the start of the season. The Japanese car giant announced it was pulling out of F1 back in December after citing the credit crunch as the reason behind their demise. Sir Richard Branson's Virgin Group is the latest in a long line of potential purchasers but there is still no official word about a deal being agreed.

It is understood that Honda chiefs in Japan are studying the proposals are on the table, but Honda have conceded that shutting the team down completely remains a viable option.

"It's true that we are pursuing several potential buyers. But the team may still have to be disbanded if the negotiations fail," a Honda spokesman said.