F1 adds $1.2 million to teams’ cost cap allowances

25 comments on “F1 adds $1.2 million to teams’ cost cap allowances”

1. 

   Nulla Pax (@nullapax)
   21st February 2023, 18:20

   Looks like Lewis and Max will be negotiating for a bit more then?
   1. 

      Proesterchen (@proesterchen)
      21st February 2023, 18:50

      Driver compensation is not covered by the cost cap.
      1. 

         Yaru (@yaru)
         22nd February 2023, 18:08

         ^
2. 

   Jere (@jerejj)
   21st February 2023, 20:58

   Good, I guess, but the winter shutdown (presumably through the Christmas & New Year phase) is definitely good for teams.
   1. 

      Lookiwroteacomment
      22nd February 2023, 8:08

      Depends on how you look at it. Imo people should be able to choose when they take time off work. Not have it dictated for them. Not everyone wants to go on holiday during one of the busiest holiday seasons.
3. 

   SteveP
   21st February 2023, 21:14

   Looks like RBR catering budget is almost covered then.
   That is what the wind tunnel time is for, isn’t it? Drying the freshly washed lettuce?
   What? They aren’t supposed to have a car in at the same time?
   1. 

      Bullfrog (@bullfrog)
      21st February 2023, 23:01

      Depends what they’re working on.
      Tea trays, coke bottles and wishbones all come under catering.
4. 

   Mark in Florida
   21st February 2023, 21:52

   If RedBull or other teams need to save money they can serve heat and eat ramen noodles. That’ll free up some development money.
5. 

   Darryn Smith (@darryn)
   21st February 2023, 22:36

   Give Redbull 1.2 and they’ll take 10.
   1. 

      MacLeod (@macleod)
      22nd February 2023, 7:47

      12 ofcourse but they don’t evade taxes like the other teams…
6. 

   ferrox glideh (@ferrox-glideh)
   21st February 2023, 23:01

   Well, I dare say that shall preempt any nasty year-end scandals, old sport.
7. 

   Coventry Climax
   21st February 2023, 23:29

   The fact that the FIA neglected to put a relation in place between cost cap level and number of races per season is telling me they still employ the same incompetent guys as before to write up the rules. Likely, there’s yet again room for misconceptions, need for clarifications, ‘technical directives’, and the option to penalise teams after the season ended, in the ever ongoing battle to equalise all teams so as to make the sport ‘more interesting’.
   Great sports, this, really the pinnacle.
   It used to be about engineering and driver skills, these days it’s all about legal cunning and lawyer support.
   1. 

      MichaelN
      22nd February 2023, 17:00

      The fact that the FIA neglected to put a relation in place between cost cap level and number of races per season is telling me they still employ the same incompetent guys as before to write up the rules.

      For the 2022 season, it was 145 million USD for 21 races. Any deviation from that equal 1,2 million USD (up and down per race). (Articles 2.3 of the F1 Financial Regulations for 2022).
   2. 

      Yaru (@yaru)
      22nd February 2023, 18:12

      Um, they did.
      1. 

         Coventry Climax
         22nd February 2023, 22:36

         The Formula 1 Commission has agreed to allow teams to spend an extra $1.2 million (£1m) over the cost cap this year.

         The base cost cap will fall to $135m (£111m) this year, but teams are allowed a number of exceptions. The cap has been relaxed to take into account the 2023 F1 calendar featuring more than 21 races.

         These first 3 sentences of the article sure don’t sound like it.
         Neither does MichaelN’s comment about ‘the finacial regulations for 2022‘. That sure sounds like that for 2023, regarding the no. of races, nothing was put on paper.

         If it was written in the rules already right from the start of when the cost cap became effective, this would not be news now, and nothing for the Formula 1 commission to reach an agreement on.

         It’s become a trend though, in F1, to come up with new rules literally days before the start of the season as well as rule changes during the season. To me, that smells of amateurism. Heavily.
8. 

   Spencer (@spencer)
   22nd February 2023, 0:05

   F1 has largely been an exercise in litigation for its entire existence. Technical inclusions/exclusions, safety, media rights, hosting fees and most importantly influence on regulation changes. Please don’t pretend that this is somehow a recent development. The sport has never been a pure engineering showcase or exhibition of driver skill. Never.
9. 

   S
   22nd February 2023, 2:31

   Budget cap? Nah, we’ll just keep ignoring that.
   The teams don’t like the rules they made (themselves) anymore, so each season will receive specific alterations to the regulations…
10. 

    Qeki (@qeki)
    22nd February 2023, 10:52

    So what if some team will do a HRT/Williams2020 and after the first couple of races would not to race at all for the rest of the season. They could focus 100% on the next years car and could spend all that money on next year?
    I don’t think this would work because I don’t fully know the regulations.
    1. 

       MichaelN
       22nd February 2023, 11:48

       They have to attend all races. That guaranteed list of participants is part of the deal that allows F1 to extract such exorbitant fees from hosts and media, and one of the main outcomes of the ‘new’ F1 under the series of Concorde Agreements.
11. 

    MichaelN
    22nd February 2023, 11:45

    The cost cap for one F1 team is already enough to run close to the entire Indycar grid. And the cap only covers a part of the spending. It’s a ridiculous amount of money to spend on two race cars.

    If F1 were serious about making racing more sustainable and enabling more teams to be competitive, they would steadily decrease the cap and expand what is included.
    1. 

       Yaru (@yaru)
       22nd February 2023, 18:28

       The cap is lower than last year even after adjusting for the increase due to more races. The only thing it doesn’t include are te principal and driver salary. Not all sure but hardly just part.

       Also, IndyCar is only in America both where the competition is and where the teams are from. F1 is global and the transportation cost is part of the cost cap. Indycar is also almost spec, whereas F1 has way more developement
       and differentiation even accounting for the recent more streamlined rules. Also, Indycar still uses fully petroleum engines for now while F1 uses more complex (and expensive) hybrid engines with electrical and heat energy recovering mechanisms.

       Engine developement cost are also coming into their own cost cap soon. While it has bumps, I would say F1 has done a good job with the cost caps and reigning the spending in.
12. 

    Andy (@andyfromsandy)
    22nd February 2023, 14:02

    Indycar being a spec series where the chassis is concerned is where the clever bit is in F1. Not having a clue about the actual costs but if the teams are making several 60% scale models to try stuff out the expense must ramp up fairly quickly.
13. 

    Pedro (@)
    22nd February 2023, 17:59

    The budget cap is a joke for the FIA, isn’t it?
    1. 

       Yaru (@yaru)
       22nd February 2023, 18:30

       Not really? The rules state that the cap will increase or decreases by $1.2mil per extra/less race.
    2. 

       Mayrton
       23rd February 2023, 11:18

       It was meant as a temporarily stick for Shaila-Ann Rao to beat RB with on behalf of Toto.

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