The future of racing at the legendary Spa-Francorchamps Circuit is in serious jeopardy following the decision by the local Council of State to suspend its licence until 2026.

The move is the result of an investigation into noise following the issuing of a new permit in April 2007.

At the time the permit was issued it was on the condition that circuit organisers would carry out an environmental impact study following complaints from local residents.

The Council of State has now declared the work carried out by the circuit organizers to be "seriously inadequate and incomplete", and consequently suspended the track's licence until 2026.

The decision has come as a complete surprise to circuit director Pierre-Alain Thibaut who told Belgian news website Lesoir: "Since the filing of the complaint, the situation has changed. The circuit has worked hard to reduce noise, and relations with local residents has improved.

"It is a difficult situation," he continued, "but we've made commitments vis-a-vis a range of people, and we must comply on pain of having to pay damages. We will challenge the government, and organise a dialogue with the board of residents."

The news follows claims that, despite one of the most popular events on the calendar, the recent Grand Prix at Spa resulted in a loss of almost £3m.