MADRID -- Formula One boss Bernie Ecclestone says Barcelona and Valencia have agreed to alternate as hosts of Grand Prix races in Spain starting in 2013.
Ecclestone told Cadena Ser radio the two cities agreed in principle and were working out dates, calling it "a good solution" for both.
Spain has been hard hit by Europe's financial crisis. The amount paid by local organizers to host the F1 races has come under scrutiny with national unemployment near 23 percent and the government introducing austerity measures.
Ecclestone says "the year Valencia does not host it would not have to pay."
The two circuit heads said negotiations were ongoing.
This year, Barcelona hosts the Spanish GP on May 13 and Valencia has the European GP on June 24.