F1 Salary Cap 2021 Explained: Know Everything About The Rules, Money, Driver And Team Cap

F1 Salary Cap 2021 Explained: Know Everything About The Rules, Money, Driver And Team Cap

Get up to speed with everything about the F1 salary cap 2021 rules which was imposed by the FIA for financial fairplay

Formula 1 is one of the most expensive motorsports in the world where there is a lot of money involved to make the F1 more interesting and competitive. However, the big teams find themselves in a situation where they have a lot of money in abundance.

FIA and Formula 1 have worked closely to monitor the finances involved in one of the most expensive sports by regulating how much money every team can spend to make their cars better. This rule is imposed to generate more competition in the teams and to make Formula 1 more closer.

F1 Salary Cap Rules 2021 Explained: Money, Team And Driver Cap

Formula 1 wants to promote fair racing by regulating the money each team can spend by introducing a Cost cap which will limit the finances. Meanwhile the top three teams like Mercedes, RedBull, and Scuderia Ferrari will have to limit their financial input which played a crucial role in their dominating the World Championship.

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This year, all the teams were imposed a salary cap of $145million which will decrease gradually over the period of three years by $5 million every year to ease the big teams into spending less money as compared to their competitiors.

F1 had initial plans of introducing the salary cap in 2020 but, the Coronavirus pandemic delayed the new regulation along with the new car. FIA will now monitor every little detail involving the smallest parts of the car and staff salaries.

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Smaller independent teams will now get the opportunity to compete with the elite teams who were far more superior because of the big money involved in the sport. This cost cap will now level the playing field forcing the big spenders to adjust to the life of the mediocres.

The pandemic has forced the FIA to regulate the money as every sport took a major hit in terms of revenue as their was no crowd which meant no ticket sale. However, the cost cap has created more excitment among fans who now experience closer wheel-to-wheel action.

ALSO READ:ย F1 Salaries And Contract 2021: Know How Much Money Every Formula 1 Driver Earns

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