The Dutch Grand Prix has been given the green light but will now take place with a reduced capacity of 70,000 per day due to Covid restrictions.
The Dutch government has placed a cap on the number of fans that can attend sporting events with Zandvoort limited to 67 per cent of its capacity.
Organisers last year cancelled the race after saying it was only viable should the race be contested in front of packed grandstands.
"For me, the glass is two thirds full," said Zandvoort sporting director Jan Lammers. "We're just gonna do it.
"The three companies behind the Dutch Grand Prix, Circuit Zandvoort, SportVibes and TIG Sports, have decided to invest in the future of Formula 1 in the Netherlands.
"The belief in the ambition to organise the largest ultimate race festival in the world remains the ultimate goal for the coming years.
"This year in a slimmed-down form, but despite that, the battle for the world championship will be fought in a beautiful orange atmosphere."
Fans that had purchased tickets for the event will be informed by Wednesday, August 18, if they are still able to attend the event with options available to defer tickets until 2022 or claim a full refund available.