The Clonbullogue racer will continue with Rodin Motorsport next year.
Alex Dunne will be racing in Formula Two once again for 2026.
Dunne landed two race wins and 8 podiums over the course of his rookie campaign to finish fifth in the championship standings.
The news comes after the final round of the season in Abu Dhabi where the Offaly teenager scored a single point in Saturday's sprint race.
His feature race came to a premature end after he collided with Victor Martins early on.
Dunne will carry a 10 second penalty into the new season following the crash.
Leinster SFC: Westmeath Management Under No Illusions For Meath Clash
Shane Lowry Records Opening Round 70 At RBC Heritage
Leinster SFC: Semi-Final Spot Up For Grabs For Laois
New Padel Court Set To Open In Laois This Weekend
Athlone Town Host Bray Wanderers In First Division
Offaly And Westmeath Aiming To Reach Leinster Camogie Semi-Finals
Leinster SHC: Dublin Expecting 'Battle' With Offaly This Weekend
Aoife Dalton Selected For Ireland's Six Nations Clash With Italy
Shane Lowry Competes At Heritage Classic
Offaly GAA Hosts 'An Evening Of Courage & Conversation'
Laois Begin Joe McDonagh Campaign Away To Carlow
Leinster SHC: Offaly Gearing Up For First Battle With Dublin
Athlone Town Travel To Peamount United In Women's Premier Division
Late Goal Knocks Offaly Out Of Leinster U20 Football Championship
CCFL: Wins For St Peter’s And Clonaslee United In Senior Division
Leinster SFC: Westmeath Boss Not Happy With Quick Turnaround
Meath Run Riot Against Laois In Leinster Minor Football Championship
Wins For Laois And Westmeath In Leinster Minor Hurling Championship