Two previous leaders retired from the race due to mechanical failures. Michael Schumacher led by over 40 seconds before a wheel bearing failure caused retirement. Mika Häkkinen seemed set for his first win but his engine blew while he was holding off Villeneuve, having made one stop to the Canadian's two.
Further back, Alexander Wurz scored his first podium finish in his third Grand Prix, also briefly leading the race during the pitstops. David Coulthard ran 3rd early on, but faded with braking problems. Schumacher's team-mate Eddie Irvine was close behind Villeneuve when both made their second pitstop, but his car failed as he exited the pits. The race was a disaster for Heinz-Harald Frentzen. He stalled on the grid with the race about to begin, forcing the race start to be aborted and having him to start from the back of the grid. Then on the first lap Jos Verstappen crashed into the back of his Williams car at Becketts' corner ending the German's race immediately.
Damon Hill finally scored his first points for the Arrows team after a late retirement for Shinji Nakano.