FIA admit F1’s cost cap has made comebacks for lower teams near impossible

The Formula 1 budget cap was brought in ahead of the 2021 season to encourage closer competition between teams.


FIA admit F1’s cost cap has made comebacks for lower teams near impossible

FIA Headquarters

The 2021 F1 season saw drama unfold throughout the year, but also included a major change to the pinnacle of motorsport. A budget cap was introduced for the first time in the history of F1, to prevent overspending and bring the F1 field closer together.

However, this may have reportedly backfired, according to FIA head of single-seater racing Nikolas Tombazis. Reasoning that if a team achieves a level of dominance such as Red Bull did in 2023, rival teams are unable to spend more to try and catch up to the leader. Tombazis said that old methods of throwing money at an upgrade to fix a botched season can no longer be used.

The problem with the financial regulations is, on the one hand, they do mean that somebody can't spend three times more than somebody else, which is good. But on the other hand, they also mean that if you're behind somebody, you can't just throw everything at it and make an upgrade.
Nikolas Tombazis said, as reported by autosport.com.

The budget cap has come with its own controversies as well, causing drama in the F1 paddock just a year after it commenced. Overspending from Red Bull and accusations of cheating flying at them immediately after also drew criticism from team bosses Zak Brown, who criticized the budget cap itself.

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FIA sporting director steps down in protest after unheeded advice

A new position was introduced in the FIA from 2023, the executive spot of sporting director. Former Renault team manager who also worked with teams like Williams, Benetton and Tyrell, Steve Nielsen was appointed as the inaugural sporting director for the FIA, overseeing motorsport throughout the organization.

FIA announced the exit of Shaila-Ann Rao as interim Secretary General of Motorsport
FIA announced the exit of Shaila-Ann Rao as interim Secretary General of Motorsport

Nielsen worked closely with F1 race director Niels Wittich, and the drivers’ opinion of him was mostly positive. However, after less than a year in the position, the British engineer has retired from the position, leaving with immediate effect amid a reshuffle of organizational positions in the FIA.

As reported by the BBC, Nielsen is leaving largely due to the FIA not being willing to make changes to racing regulations that he deemed fit. Nielsen’s departure comes amid a turbulent period for the FIA, with president Ben Sulayem coming under fire as well recently.

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