And two of those are out on their islands (Azores & Canaries). Plus there's another island rally in Cyprus.
Seems the Eastern countries (and those islands) are the ones who want to use ERC & rallying as a new way of promotion.
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I think your second post is more accurate. The ERC goes primarily where there's money for the promoter, they're chasing that primarily over popularity. Look at Ypres. Just because the regional government there and/or sponsors don't wish to buy into the ERC/Eurosport as a promotional platform doesn't mean that rallying isn't popular in Belgium.
It is not so easy. There is more reasons why it is going like this. One of the reasons is that FIA doesnt want to have WRC and ERC in same countries. They are making "excuses" only in case of island rallies (in WRC or ERC). With including the rally into ERC, it is not only about the money. Ypres is also little bit different story, it is not only about money, it is more deep...
Of course rallying is still popular in much of W.Europe. They have WRC events and mostly good national series so often dont need/want ERC.
I was thinking more about the likes of Greece and Ireland where funding and/or logistics are making them stop involvement.
Fron Autosport:
MSA chairman David Richards was asked if he thought the Circuit of Ireland could secure a world championship slot, Willis said: "The Circuit hasn't run for the last two years and it's not going to happen next year, but we're targeting 2020 to bring the event back.
"I've never denied that my ultimate ambition would be to get the Circuit to the highest level of world rallying - that would be an incredible achievement for the team and it's a level at which I think our event would sit comfortably.
"But we're talking to the European Rally Championship, we're talking to lots of people right now. Collectively we're working towards getting the Circuit of Ireland back on the calendar."
Rally Liepāja will be held in little bit different format in 2019. Base city still remains Liepāja when route will be more wider. First day will start around Talsi - another 'gold classic' roads in Latvian rally.
So no "Rally Talsi" this year as a national championship leg.
I don't think anyone from Ypres organizers thinks they're bigger than the championship... According to what I've heard, problem with Ypres is that they paid (a lot) to Eurosport to be in the ERC. But they didn't have the benefits, most drivers didn't visit Ypres because of the specific roads and the tough competition they would face. In the IRC years it probably also costed a lot but the return was much larger, with some (semi-)works teams and a lot of coverage on Eurosport. Now what do you get on Eurosport, and who is still watching it? So Ypres has chosen for the British championship, which probably costs far less, and gives a better return in the number of drivers that visit the rally. They were also in TER, but that championship has turned out to be a joke.
@ChrisIngramGB
Replaced the race suit for the business suit. Gaining momentum on my ambition to do WRC2 2019 with current and potential partners. #WRC2019 https://t.co/8Ynf9ZZmEu
According to Barum Rally director the event stay in ERC for next three years. He also hinted they wanted to make the 2020 event somewhat special as it would be the 50th edition (the aim is to bring back some old unused stages and increase the total stage length).