Domenicali: 'Budget cap in Formula 1 good example for the 'Super League''
F1 News
- GPblog.com
This past week, the international newspapers were filled with news about the Super League, an initiative of twelve football clubs from Europe to start their own league in order to generate more revenue. This idea was met with disapproval in the media and by fans alike, and after dozens of hours most clubs gave up on the idea. According to Stefano Domenicali, CEO of F1, this situation has also occurred at the top of motorsport.
"In Formula 1, we have had the situation twice now where there was a risk of ratios being created, to ensure that we would have a championship that would yield more in terms of income," Domenicali acknowledged in conversation with the Italian Sky TG24. The Italian explains that the financial situation of teams will not be solved by putting more money into the sport.
Budget cap important part
According to Formula 1's new CEO, a new approach to the sport will ensure that teams remain financially healthy, without costs going through the roof. Components such as the budget cap and arrangements to equalise the differences between teams have an important part to play in this, according to Domenicali.
"In Formula 1, we are actually working to tackle it the other way around, by controlling costs, which gives a new dimension to the financial health of teams," Domenicali said.