F1 launched a finances cap at first of the 2021 season, initially limiting groups to spending $145 million per 12 months. This determine dropped to $140m for 2022 and can fall by an additional $5m subsequent 12 months, though talks are ongoing concerning the influence of inflation and elevated freight prices.
There are a variety of exclusions from this base determine, together with the driving force salaries, however there’s a renewed push for the potential introduction of a driver pay cap within the coming years.
Two-time world champion Alonso mentioned in Monaco on the finish of final month that he didn’t assume F1 wanted to go down the route of a wage cap, noting how a lot work the drivers do to advertise the championship.
“I do not assume it is wanted,” Alonso mentioned.
“Drivers have been all the time outdoors this subject, and I feel the drivers, they’re utilizing us an increasing number of to advertise Method 1. We do an increasing number of occasions we’re extra involved with the followers.
“They’re asking an increasing number of from us and they’re benefiting from that. So we ought to be outdoors from that cap. It’s totally sophisticated.”
Carlos Sainz, Ferrari, speaks with Max Verstappen, Crimson Bull Racing, on the drivers parade bus
Photograph by: Carl Bingham / Motorsport Images
Various drivers have questioned the viability of a wage cap, together with Lewis Hamilton, who beforehand mentioned he felt it could hinder youthful stars amid restrictions on picture rights.
Alfa Romeo F1 chief Frederic Vasseur mentioned in Monaco he thought a wage cap for drivers and key personnel could be “the subsequent subject on the desk” because the collection pushes for higher monetary sustainability.
The proposed plan for the wage cap over the previous couple of years has set a determine of $30m to cowl each drivers within the staff. Ought to this determine be exceeded, then more money spent on the driving force salaries might come out of the staff finances cap.
The price cap is at present within the highlight once more as a lot of groups push for a rise within the $140m restrict for this season because of the monetary pressures attributable to inflation and an increase in freight prices, stemming from the present international local weather after Russia’s invasion of Ukraine.
Ferrari claimed in Monaco that it stood no probability at current of staying beneath the $140m restrict for the season, reasoning its name for a rise. However some groups have taken a dim view on the matter, suggesting the larger outfits merely develop their vehicles much less to remain beneath the cap.