Smaller F1 teams face another hard road

Friday, 13 March 2015 00:00 - - {{hitsCtrl.values.hits}}

Force India Formula One drivers Sergio Perez of Mexico (L) and Nico Hulkenberg of Germany pose with the new Force India racing car during its presentation at Soumaya museum in Mexico City - REUTERS LONDON (Reuters): Formula One stands accused, ahead of a new season set to generate even more revenues for the billionaire sport, of burying its head in the sand about a looming cost crisis. Some of the smaller teams are still fighting for survival, with Caterham now gone, even as double world champion Lewis Hamilton and Mercedes negotiate a new deal that few others could afford. There are those who fear the division between haves and have-nots is becoming untenable. “I think we are at very significant risk of losing more teams. We said that last year and nothing’s changed,” Force India deputy team principal Bob Fernley told Reuters. “I think it’s a sad reflection... on our industry that we are not recognising there are some issues and that we are probably doing a bit of an ostrich trick which could easily come back to haunt us.” The calls at the end of last season by Lotus, Force India and Sauber for more money and significant cost cuts have produced little. Force India have struggled to get their new car ready, running it for only three days in testing, while Sauber’s driver selection has been dictated by finance as much as talent. The sport boasts an annual turnover in excess of $1.5 billion, with more than half of that paid out to the commercial rights holders. But while teams will share more than $900 million, the pot is not split equally. In 2013, Ferrari received an estimated $166 million, according to Autosport magazine. Marussia, who have only just extricated themselves from administration and are battling to return, were paid just $10 million – half the cost of an engine supply – although they stand to get much more now after finishing ninth in 2014. “What we were hoping for is that there would be a recognition, particularly by the manufacturing teams and the sport as a whole, that we need to do something that is innovative and constructive,” said Fernley. “Unfortunately that is not forthcoming. In fact it is vehemently opposed. The four (big) manufacturing teams don’t want to give any concessions. They have demonstrated that for the last 18 months.” The likes of champions Mercedes, Ferrari, Red Bull and McLaren, whose annual budgets are estimated to be in excess of $250 million, deny they are unsympathetic but argue that the sport has always been this way. “It’s a normal way, up and down, related to Formula One,” commented Ferrari principal Maurizio Arrivabene.