SAKHIR, Bahrain -- Formula One has outlined its vision for the sport's future rules and governance following a meeting with teams ahead of the Bahrain Grand Prix.
With commercial and engine agreements set to expire at the end of 2020, there is increasing pressure to define the details of the regulations from 2021 onwards. The meeting in the Bahrain paddock was held to flesh out some of those details for the benefit of the teams and a document with broader strokes was issued to the media.
The key areas for change were split into five "strategic initiatives" listed below:
Power units (PU)
• The PU must be cheaper, simpler, louder, have more power and reduce the necessity of grid penalties.
• It must remain road relevant, hybrid and allow manufacturers to build unique and original PU.
• New PU rules must be attractive for new entrants and Customer teams must have access to equivalent performance.
Costs
• We believe how you spend the money must be more decisive and important than how much money you spend.
• While there will be some standardised elements, car differentiation must remain a core value
• Implement a cost cap that maintains Formula One position as the pinnacle of motorsport with a state-of-the-art technology.
Revenues
• The new revenue distribution criteria must be more balanced, based on meritocracy of the current performance and reward success for the teams and the Commercial Rights Holder.
• F1s unique, historical franchise and value must and will still be recognised.
• Revenue support to both cars and engine suppliers.
Sporting and technical rules & regulations
• We must make cars more raceable to increase overtaking opportunities.
• Engineering technology must remain a cornerstone but driver's skill must be the predominant factor in the performance of the car.
• The cars must and will remain different from each other and maintain performance differentiators like aerodynamics, suspensions and PU performance. However, we believe areas not relevant to fans need to be standardised.
Governance
• A simple and streamline structure between the teams, the FIA and Formula One.
Key changes to the revenue structure include payments to engine manufacturers as well as teams, as opposed to just the teams as it is at the moment. However, Ferrari is expected to retain its historical payment above and beyond the other teams, albeit reduced in size. Further prize money will be distributed based on championship position the previous year, as is currently the case. Combined with a budget cap expected to be leveled at $150 million -- excluding driver salaries, executive salaries and marketing spend -- more teams should end up with similar spending power.
Chase Carey, Chairman and CEO at Formula One, said: "Formula One is a sport with a rich history. We want to preserve, protect and enhance that history by unleashing F1s potential, by putting our fans at the heart of a more competitive and more exciting sport. We are driven by one desire: to create the world's leading sporting brand. Fan- centred, commercially successful, profitable for our teams, and with technological innovation at its heart."