Horner urges F1 budget-cap rethink, estimates team spending at $500m-$600m

Christian Horner has urged Formula 1 to bring more costs within its budget cap, arguing that the main limit covers only part of what teams spend. In an interview with Autosport, he estimated annual team outlays at $500m to $600m, against a cap of just over $200m.

The main cap has risen from $145m when it began in 2021 to $215m. Driver contracts, salaries for the top three non-driver earners, travel and marketing are excluded; a separate $190m cap applies to power-unit spending.

Red Bull, Horner’s former team, breached the 2021 cap by 5%, receiving a $7m fine and a 10% reduction in wind-tunnel and CFD testing. Horner described the scheme’s early years as a bedding-in period and said the matters Red Bull was charged with in 2021 would not have been an issue under the rules in 2022.

Williams boss James Vowles argues that frontrunners benefit more. He says Williams must count capital expenditure against its limit, restricting what it can spend on the car and personnel. Red Bull, Mercedes and Ferrari had already invested heavily in facilities before the cap, allowing them to direct the full $215m towards on-track investment.

Horner credits the cap with making teams more selective about what they manufacture and how they use parts. He called an all-encompassing engine-side cap a good model, while questioning the right level. In his view, financial departments now play as large a role as design teams in the pursuit of grand prix wins.