Formula 1: the spending limit already generates divisions between large and small teams

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Formula 1: the spending limit already generates divisions between large and small teams

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Car damage due to accidents is a budget constraint problem. Photo LOIC VENANCE / AFP

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Formula 1 not only started 2022 with new cars due to regulatory changes. Teams also have to take into account throughout the year the budget ceiling of 140 million dollarswith which the organizers believe they can generate equality between the teams.

So, every accident is a headache, as happens to Haas with a Mick Schumacher who broke two cars on seven dates. And that could multiply on Baku’s tough road during the Azerbaijan Grand Prix this weekend.

Spending limit causes splits in F1. The burning conflict centers between the big and small teams and the question that divides them is how much should be spent on a world championshipsince legal disputes about what exactly constitutes an expense and when such expense entails a sanction are not excluded.

A hint of the problem was evident when Williams became the first team to be punished under the budget cap rules passed last year. The British team was fined $ 25,000 not for overspending, but for not delivering financial documents on time.

Big teams like Red Bull, Ferrari and Mercedes argue that the limit is too tight and they want compensation to be increased for factors such as the high costs of moving cars, components and team employees around the world, in the midst of an era marked by inflation and war in Ukraine.

The director of Red Bull, Christian Hornerstated that the team will have to reduce their staff to reach the budget limit this season and even suggested that some teams may not show up for some matches.

Smaller teams like Alpine, they believe that any increase would actually be a punishment for keeping their spending in check and big teams could simply use more money on car development over the season. They also argue that the cancellation of the Russian Grand Prix due to the invasion of Ukraine has already reduced costs for the teams.

The fight, likewise, has only just begun and they will have to get used to the top after wasting money over the past few decades to create a boring category and dominated, first, by Ferrari and then by Red Bull until the last eight titles in the hands of Mercedes.

The excitement was recovered with the Verstappen title in 2021 but this fight between big and small promises to continue, given that next year the limit will even drop to 135 million dollars.

With AP information

Source: Clarin

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