American car giant General Motors has reached an agreement in principle to enter Formula One in 2026 with its Cadillac brand, potentially averting a congressional hearing into the matter.

Rumours were rife in Las Vegas over the weekend – where GM officials were spotted – that an announcement was imminent. And so it has proved. Formula One confirmed in a statement on Monday that the news was true that the application process would now “move forward”.

A bid for a US-backed entry to become the sport’s 11th team was rejected earlier this year after it was submitted under the banner of American motorsport team Andretti.

On that occasion, motorsport’s governing body, the FIA, was keen but the sport rejected the application, partly because of pressure from teams who felt the new arrivals would dilute their share of profits.

That rejection sparked the interest of the Department of Justice in the United States. In August, F1’s owner Liberty Media was forced to admit it was under investigation by the DOJ on antitrust grounds.

The prospect of going before US Congress to explain why it was impossible to accept an 11th team which would add to the growth of the sport on that side of the Atlantic has clearly sharpened minds. The re-election of Donald Trump may have helped too.

There were also tensions between Michael Andretti – son of former F1 world champion Mario Andretti – and Formula One’s owner Liberty Media. Andretti has now stepped back from his eponymous organisation and ceded control to majority owner Dan Towriss, which has helped smooth the path.

The deal will see the GM-supported outfit join as a customer team in 2026, while developing its own in-house power units for 2028 and beyond. The Telegraph understands there have already been discussions with existing power unit suppliers, including Ferrari and Mercedes. If no agreement can be reached, it is understood Honda would be obliged to provide engines since they supply the fewest teams.

The GM-backed team will use the existing Andretti Global factory in Silverstone. Around 270 people are already working on the project, on both sides of the Atlantic, with the team having refused to give up after their initial application was rejected earlier this year.

Rob White, the former Renault engineer, was the latest high-profile recruit to be unveiled, joining as chief operating officer in the last few days, following in the footsteps of Nick Chester as technical director and Jon Tomlinson as head of aerodynamics, as well as Pat Symonds, who is expected to become the team’s executive engineering consultant.

The team already have a wind tunnel model of a 2026 car which they can test as much as they like since they are not bound by the same restrictions as existing teams.

Greg Maffei, Liberty Media’s president and chief executive officer, said: “With Formula 1’s continued growth plans in the US, we have always believed that welcoming an impressive US brand like GM/Cadillac to the grid and GM as a future power unit supplier could bring additional value and interest to the sport.”