The FIA is set to adjust the budget cap in 2026. Reportedly, this move aims to accommodate teams based in countries with higher salaries. This adjustment by the FIA particularly benefits Audi, which will take over the Swiss Sauber in 2026.
The decision to adjust the budget cap for 2026 was confirmed on Thursday, according to BBC Sport. The governing body hopes this will allow Audi to operate at the same level as the other nine teams. The other racing stables are primarily located in countries, such as Italy and the United Kingdom, where salaries are lower. The actual budget cap for Audi, excluding the higher salaries, is not yet known. This decision comes four years after the budget cap was introduced in 2021.
Audi’s top executive, Mattia Binotto, previously stated that it would be impossible for the Swiss team to become competitive without the adjustment. The other nine teams are reportedly less pleased with the exception for Audi, but they cannot stop the decision.
Increasing the Budget Cap
The FIA’s exception for Audi is not the only change the budget cap will undergo. The cap will also increase from the current $135 million per team to $215 million in 2026. The rise in the budget cap is partly due to inflation, but also due to “the abolition of the opportunity for UK-based teams to receive tax reduction for research and development costs,” as reported by the BBC.