The MRT05 was launched at the Circuit de Catalunya on 22 February 2016 during pre-season testing. Its development took place under difficult conditions. The team had collapsed at the end of 2014, and during that period they lost access to their wind tunnel model — the MRN1 — as their original factory and wind tunnel were taken over by the incoming Haas F1 Team. With no existing aerodynamic model to work from, the MRT05 was designed largely from scratch.
A number of experienced technical personnel joined to develop the car, including Dave Ryan from McLaren Racing, and Pat Fry and Nikolas Tombazis, both formerly of Scuderia Ferrari. A major change from the previous year was the switch from Ferrari power units to Mercedes AMG engines, bringing the team's power supply in line with the grid's dominant constructor. During the eight days of pre-season testing in Spain, the MRT05 completed 484 laps — equivalent to approximately 2,253 kilometres.
Pascal Wehrlein and Rio Haryanto were announced as the 2016 race drivers. Ahead of the Belgian Grand Prix, Haryanto was demoted to reserve driver as the team's primary backer Pertamina withdrew sponsorship, and Esteban Ocon replaced him for the remaining nine races of the year. Alexander Rossi and Jordan King held test and development driver roles.
At the opening race in Australia, Haryanto retired with a drivetrain problem while Wehrlein finished 16th. In Bahrain, Wehrlein qualified 16th — one place away from Q2 — while Haryanto took his first career finish in Formula One in 17th.
The team's high point of the season came at the Austrian Grand Prix, where Wehrlein qualified 12th — the highest grid position achieved by the team that year. He then converted that into the team's first ever World Championship point, finishing 10th in the race.
At the Brazilian Grand Prix, run in wet conditions, Sauber scored two points late in the race, moving ahead of Manor in the Constructors' Championship. The difference in prize money attached to those positions amounted to approximately £30 million. At the Abu Dhabi season finale, Manor did not score, and the team finished 11th and last in the championship.
The loss of prize money resulting from finishing last rather than 10th placed the team in an untenable financial position. Manor Racing entered administration in January 2017, and the team did not return for the 2017 season. The MRT05 thus became the last Formula One car ever raced by Manor under any of the team's various identities, which had included Virgin Racing and Marussia F1 Team in previous seasons.
The MRT05 carried a predominantly red and blue livery with white accents. Pertamina, the Indonesian state oil company, was the dominant sponsor with branding on the nose and rear wing until their support was withdrawn before the Belgian Grand Prix. Shazam appeared on the rear wing endplates throughout the season. Airbnb returned to the team's sponsorship roster in May, and Deliveroo joined as a sponsor ahead of the Abu Dhabi season finale.