Since its introduction, the budget cap has always been a topic of contention, with teams who have never hidden their desire to tweak what was or was not included in the cost cap or how they were reviewed. The issue especially affects those mid-table teams that were unable to make major investments before the introduction of the budget, but also for all the teams that have to make up the gap from the top.
A few weeks ago James Vowles, now Team Principal of Williams, had illustrated the need for F1 to exclude some items from the budget cap, in order to give the opportunity to invest in structures and machinery without having to give up the development of the single-seater at the same time. In fact, if the top teams were able to make important investments before the cost ceiling was introduced, other teams had to deal with a period of financial crisis, waiting for better times.
Despite the support of the parent company Renault, Alpine has not hidden that in terms of equipment the team is still behind other top-tier teams, so much so that it has announced the purchase of a new simulator which should be completed in the next few years.
Esteban Ocon, Alpine A523
Photo by: Alpine
However, when it comes to having to strengthen multiple structures simultaneously, it is clear that the margin is starting to get smaller and smaller. Precisely for this reason, Otmar Szafnauer, Alpine Team Principal, warned Formula 1 against creating an advantage for the top teams by leaving critical infrastructure projects included in the current cost cap.
With most performance-related projects included in the cost ceiling, there is little room for teams to have to catch up without compromising. An exception was made for the construction of new wind tunnels, which was specifically exempt from cost cap rules, and which Aston Martin profited from.
Although there are exemptions with an additional deductible of around 36 million for a period of four years, such a figure is not enough to cover all the necessary investments. In fact, over the next few seasons the teams will also face extra expenses, necessary to adapt to the new regulations.
The current Alpine simulator. The team has already made investments to secure a new facility
Photo by: Renault F1
“We just have to make sure that the FIA allows a certain amount of infrastructure that all teams need to be competitive or that the playing field is level without counting the cost cap. we have a maximum ceiling for expenses”, explained the Team Principal of the transalpine house.
Szafnauer said some projects are virtually mandatory for all teams due to the new 2026 engine rules. Changing the hybrid setup, with a much more powerful MGU-K and the removal of the MGU-H system, will require Alpine to construction of a new upgraded bench.
“A part of the budget cap has to be spent on regulations,” Szafnauer explained.
Pat Fry, Chief Technical Officer di Alpine F1 Team e Laurent Rossi, Chief Executive Office di Alpine.
Photo by: Alpine
“For example, the new regulation for 2026 requires a new foreign exchange dyno. The foreign exchange dyno that we have now cannot handle it, so that money needs to be spent. And then, once the money is spent on a new test bed for the exchange, you no longer have enough money to do other things”.
“So, the FIA - and we are working with them – must allow some infrastructure needed by everyone to be outside the limits imposed by the budget cap. They have allowed it for the Aston Martin wind tunnel, otherwise it would never happen an investment for a new wind tunnel. If the cost ceiling is 36 million, a wind tunnel costs 70”.
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