Red Bull advisor Helmut Marko recently revealed that Toto Wolff is no longer supporting a reduced budget cap. The Austrian disclosed that Wolff is now backing a higher cost cap, that Ferrari supports. During the early meetings over reducing the cost cap, Mercedes backed a lower financial ceiling for car development.

Marko reveals Toto Wolff and Mercedes U-turn

F1 is in the midst of an ongoing debate regarding the sport’s cost cap for 2021. As per the upcoming financial regulations, F1’s budget cap for next season stands at $175M. This includes everything related to car development for a championship season.

F1 is introducing a cost cap to level the playing field and bridge the gap between teams.  The primary aim of the budget cap is to prevent the bigger teams from spending way more on car development. Thus, it eliminates an unfair advantage for the “richer” teams of Formula 1.

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With the sport going through a financial crisis over the lack of running, smaller teams want a revised cap. Allegedly, teams have agreed to a reduced cap of $150M. However, the midfield is pushing for a budget cap around the $100-125M limit, which the bigger teams are against. Moreover, Teams like Ferrari are opposing the change citing the financial differences in the way teams spend.

Mattia Binotto’s suggestion is to implement separate caps on teams based on its engine commitment to F1. Binotto’s idea is to impose a different cap on customer teams and a different cap on engine suppliers.  Originally, several reports claimed Mercedes backed a lower budget cap. But it appears even the Brackley outfit is now thinking things over.

Helmut Marko revealed that Toto Wolff also suggested implementing limits on driver salaries beyond 2025. Speaking to F1-Insider, Marko said:

“A few weeks ago, Wolff was leaning out of the window when it came to a budget cap. According to him, Mercedes was even prepared to accept 100 million dollars a year. Now he wrote a letter to the FIA, where he suddenly spoke of 145 million”

“At first he insisted on freezing an upper limit for driver salaries as early as 2021. Now he only wants to take this step from 2025.”

F1 needs to sort out its finances before it begins racing in 2020.