The Australian Grand Prix will be held in Melbourne until at least 2037, after a deal was struck to extend the contract in the Victorian capital.

Victorian Premier Daniel Andrews announced on Thursday a deal had been struck to extend the contract on the grand prix to 2037, an extra two years to the previous agreement.

This year’s race at Albert Park attracted a record crowd for the venue of nearly 420,000 fans.

Melbourne will host the first race of the season on four occasions under the new deal.

The first race of the 2023 season will be held in Bahrain.

“To have secured what is now 15 years of further tenure for the Formula 1 Australian Grand Prix in Melbourne is an outstanding outcome,” Australian Grand Prix Corporation chief executive Andrew Westacott said.

Next year’s grand prix weekend will include the Formula 2 and Formula 3 categories for the first time.

Victorian Sports Minister Steve Dimopoulos said the deal would have a wide impact on the region.

“Securing the Formula 1 Australian Grand Prix event in Melbourne for the next 12 years is an incredible result that will boost businesses and local jobs, while showcasing the state to millions of spectators right across the globe.”

Australian Oscar Piastri will compete in his maiden F1 season in 2023, driving for McLaren after taking over from fellow countryman Daniel Ricciardo.

Ricciardo will not be on the grid next season, taking the reserve driving seat at Red Bull, where he won seven F1 races.