Liberty seeking budget cap

18/12/2016
NEWS STORY

It's a subject which has almost torn F1 apart and one which has frustrated some of the finest minds to grace the sport... budget capping.

On Planet Paddock, as in the real world, there are the haves and have nots. And just like their real life counterparts the inhabitants of Planet Paddock find that the gulf between the two grows ever wider.

As in most sports, success leads to financial reward, both in terms of prize money and sponsorship. Add in the support of a car manufacturer and it is not difficult to comprehend the vast sums of money available to the likes of Mercedes and Ferrari compared to Force India and Sauber.

More money means one can have the best of everything, the best facilities, the best engineers, the best drivers and the best research and development programmes, and while the wealthy teams can throw money at any problem that arises their 'rivals' at the other end of the pitlane are restricted at every turn and therefore never likely to close the gap instead relying on the occasional freak result.

Aware of the growing chasm Max Mosley worked tirelessly to talk sense into the teams, not only in terms of the vast difference in spending power but also the fact that much of the money was spent on things that meant virtually nothing to the fans in the stands.

While some of the measures he introduced were accepted, such as a reduction in testing and the eventual limit on certain components such as engines and gearboxes, the move to enforce a cap which would essentially level the playing field saw a number of teams, led by Ferrari, threaten to form a breakaway series.

Several recent attempts have proved similarly fruitless, the grandee teams seeing no reason why they should come down to the level of their financially frustrated rivals, unable to see that the situation cannot continue forever.

Indeed, it was the promise of a financially level playing field that saw three new teams enter the sport in 2010, along with Cosworth, with Manor (nee Virgin) the only outfit just about surviving to tell the tale.

Now, where Mosley and the FIA failed, Liberty Media is aiming to succeed, believing that a level playing field will not only benefit the teams but the fans and thereby the sport.

"It makes no sense to have teams spending the better part of $400m (£320m)," 'a senior source familiar with Liberty's plans' told the Telegraph. "That money is not doing anything good for fans. It is just wasted on competing on technology. That has not been driven by logic and it has created a two-class society in terms of what is spent on teams. You should have an opportunity for the underdog to win."

Those teams singing the praises of Liberty's buy-out of F1 just a couple of months back will go into the Christmas break positively bristling at the thought of having their budgets capped, being told where and how they can spend their money.

While spending in F1 is at a more sensible level than at previous times it is still quite ludicrous to think about the vast resources needed to field two cars... especially if one aims to be fighting for podiums.

While such a move will be welcomed by the smaller teams their bigger rivals will want to maintain the status quo and that will always be the case while manufacturers are involved.

Furthermore, as was always going to be the case, setting a limit on how much a team is allowed to spend is one thing, policing that spending quite another.

"The biggest thing we've got to change is culture," said the Telegraph's source. "Right now, nobody trusts anybody."

According to the newspaper, Liberty boss John Malone is the driving force behind the budget capping proposal, while Chase Carey is seeking to meet with team bosses early in the new year to discuss other issues that are of concern to the sport's new owner as it seeks maximum bang for its buck.

Among the issues Carey aims to be addressing is the simplification of the rules and an end to the sport's habit of endless tinkering with them.

Other than wondering if the budget cap plan is Ross Brawn's remit for Liberty, one cannot help but feel that for some of the teams, the honeymoon with Liberty will soon be over.

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Published: 18/12/2016
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