100 million Euro budget cap by 2011?

F1 may introdcue a 100 million Euro budget cap by 2011. Budget capping is set to be introduced into the sport next season and FIA consultant Tony Purnell has written to each F1 team with prospective figures as a starting point for negotiations.

According to Autosport magazine, the figures he has suggested are 175 million Euro for the 2009 season, 140 million for 2010, and 110 million for 2011. Things such as engine costs, KERS, marketing and salaries will not be included within the cap.

Some team bosses appear to have some doubts over the budget capping scheme.

Speaking to Autosport, Honda Racing CEO Nick Fry said, “Next year’s figures are workable, but Honda is a little concerned about the glide-path, which needs more discussion. By pushing the number too low, we may not only attract marginal operations but also alienate those at the top who want to develop high technology.”

Flavio Briatore does not look to be a fan. “I already pay 40 per cent less than the cap,” he said. “If I want to keep to the limit then I need to spend more. It’s nonsense.

“Formula 1 is part of the environment and the economical situation and the sponsors, the manufacturers – we are part of the economical world. Maybe not today or tomorrow but surely in the future it will affect us. F1 needs to be competitive, F1 is a better show and less investment and costs less.”

McLaren boss Ron Dennis also has his doubts about the scheme. “I don’t see a budget cap as a regulatory process more the application of common sense,” he explained.

“I don’t think it’s a question of enforceability but if there’s a general ability to control costs when you’ve got the complicity of companies that have their R&D facilities in other countries where these programmes are in very difficult to understand languages and documents.

“I just have concerns you can monitor costs if you’re policing them in Germany or China or Japan. How can you do that? We embrace anything that reduces the costs of F1 as long as it can be practically evaluated.”

Most Popular

To Top