September 29, 2022

McLaren have become the latest team to confirm they will exceed the Formula 1 budget cap in 2022.

Team principal Andreas Seidl says rising costs beyond the team’s control for freight and energy will prevent them from exceeding the maximum spending limit.

F1’s budget cap was introduced in 2021. It is set at $140m (£113.17m) this year, excluding things like driver salaries.

However, several teams have warned that the sharp rise in inflation since the start of the year will make it difficult for them to meet the spending limit. Ferrari team principal Mattia Binotto told Monaco there was “no way” to meet the limit.

Seidl told the media, including RaceFans in Baku today, that McLaren are in the same position.

“For us, as a team that was planning to run to the cap at the start of the year, with all these unexpected costs that have arisen, we’re in a position where we can’t hit the cap anymore,” he said. he declares. “You have certain fixed costs to start the season, you have fixed costs with your resources that you have in place, staff, etc., that you can no longer adjust.

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“With this huge unexpected increase in costs, mainly on the freight side and utility bills, we are in the same position as some other teams, so we cannot hit the cap this year.”

F1 had previously announced that it would not replace the canceled Russian Grand Prix, reducing the number of rounds teams would have to attend, thus reducing their travel costs. The teams are in discussions with F1 and the FIA ​​on other ways to ease the financial pressures they face in 2022.

“I remain hopeful with all the conversations going on at the moment, with the other teams with the FIA ​​and Formula 1, that we still find a solution that is in the best interests of the sport in the future,” Seidl said. . .

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He stressed that McLaren remained committed to the idea of ​​cost caps. “I’m absolutely happy that we have the cost cap,” he said.

Pierre Gasly, AlphaTauri, Baku Street Circuit, 2022
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“It was a necessity for the sport in general, for Formula 1, but also for us as a team in order to be able to participate in F1 in a financially sustainable way, but also in a position where we can also be then really sportingly competitive,” he said.

“It’s just a new dimension, a parameter that you have to take into account in your journey, how you end a year in Formula 1. And it is clear, especially in the current circumstances, that the development of the car is strongly influenced by capping costs at the moment because of all these unforeseen costs that have come up recently. But in the end, it’s the same challenge for everyone, so I don’t have any concerns about that.

Some teams are unwilling to support changes to help rivals stay within the cost cap. Nonetheless, Seidl said he remains hopeful that a compromise can be found.

“Because of the opportunistic opinions of every team in this paddock, which is an integral part of the competition, I still hope and am very confident that with strong leadership from the FIA, we will find a good solution there. down.”

“I don’t want to go into too much detail about the discussions we are having at the moment with the other teams and the FIA,” he added. “The most important thing is in the interests of the sport to find a solution defined for everyone because I think that is also crucial to ensure that the principles of cost caps are not watered down or anything. “

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