Froome will ride both the road race and time trial in Rio, on August 6 and 10 respectively, before flying back to Europe for his second Grand Tour of the season.
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No-one has won the Tour de France and the Vuelta in the same season since the Spanish race moved to its current slot in the Autumn in the mid 90s.
“The season-long plan was Tour, on to the Olympics and on after that to the Vuelta, and that’s still the outline at the minute,” said Team Sky boss Sir Dave Brailsford in an interview with Sky Sports.
“As we go through the next phase with the Olympics, we will assess it as we go along. All being well, that’s what we will be doing.”
Brailsford also revealed that Mikel Landa should also start his third Grand Tour of the season at the Vuelta, but a decision on who will lead the team will be taken at a later date.
Froome has ridden the Vuelta on four occasions in his career, finishing second in both 2011 and 2014. Last season he crashed out on the queen stage in Andorra.