Ferrari and Mercedes cry foul over cost cap impeding them from challenging Red Bull

The cost cap regulation in 2023 dictates that the team are only allowed to spend under $135 million.


Ferrari and Mercedes cry foul over cost cap impeding them from challenging Red Bull

Christian Horner (Left, credits: Red Bull) and Toto Wolff, Fred Vassuer (Right, credits: F1)

Ferrari and Mercedes are grappling to close the gap on Red Bull in the F1 championship, with the cost cap impeding their progress. Both teams have brought significant changes to their cars but struggle to match Red Bull’s pace. While Max Verstappen’s team seems to be running away with the title this year, winning all the season’s races so far, Mercedes and Ferrari point their fingers at the cost cap of failing to match the Austrian outfit. 

In the press conference ahead of the Hungarian GP, Ferrari team principal Fred Vasseur highlighted the cost cap’s impact on their development efforts. “The main driver of this is the cost cap, that you can’t do a new project as was probably the case a couple of years ago,” Vasseur expressed his frustration. “You have also to consider that the regulation is much more prescriptive than before,” the Frenchman added, acknowledging the challenges of adapting their projects.

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The cost cap regulations, designed to level the playing field, are preventing the wealthier teams from flexing their financial muscles in the development race. Ferrari and Mercedes, who were once front runners, are now locked in a close battle for the runners-up spot, facing competition from Aston Martin and now seemingly McLaren, who are also making strides forward.

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Mercedes team boss Toto Wolff echoed Vasseur’s sentiments, expressing that “The cost cap is a real constraint now. Because you cannot just go for a B-spec car.” He also blamed the cost restriction for preventing them from making tweaks recommended by their drivers, Lewis Hamilton and George Russell. As a result, they are now looking ahead to next year for significant improvements. 

Discover: FIA bashes claims of three F1 teams breaching the cost cap, says they are entirely ‘wrong’

Ferrari and Mercedes understand the necessity to find a balance in spending their resources

Toto Wolff and Fred Vasseur
Toto Wolff and Fred Vasseur (Credits: Sports.de)

Ferrari and Mercedes recognize the importance of finding the sweet spot, as they do not want to forfeit the current season while building the framework for a more competitive car in the following championship. While they have the financial resources for comprehensive automotive development, the cost cap requires them to work under specific budgetary constraints. Nonetheless, the teams are upbeat and focused on perfecting their initiatives for the following year. 

While development is essential, teams must strike a balance to avoid sacrificing future campaigns. “When I asked Niki [Lauda], many years ago, what do you want to concentrate on: this year’s championship and win it or next year’s? He would say both,” explained Toto Wolff, emphasizing the delicate balancing act.

While they have the financial prowess for extensive car development, the cost cap mandates that they work within defined financial boundaries. Nevertheless, the teams remain optimistic and are focused on refining their projects for next year. The upcoming race will prove to be the best chance for Mercedes to seriously mount a challenge on Red Bull, as the characteristics of Hungaroring are set to favor the German outfit. 

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