Williams have withdrawn their appeal against Jacques Villen euve's exclusion from the Japanese Grand Prix, with the result that he has forfeited the two points from his fifth place finish in Suzuka.

Yesterday Max Mosley, president of the FIA, had indicated that continuing with the appeal could risk a further penalty, including possible suspension from the last race of the year.

This decision means that Villeneuve goes into the European Grand Prix at Jerez on Sunday week one point behind Ferrari's Michael Schumacher, who won the Japanese race.

Villeneuve has 77 points and seven wins so far, while Schumacher has 78 and five wins. Villeneuve's exclusion from the Japanese Grand Prix also has the effect of moving Jean Alesi up to fifth place ahead of Johnny Herbert.

If neither of the championship contenders finishes the final race, Schumacher will become the first Ferrari world champion since Jody Scheckter took the title in 1979.