Horner: F1 teams will have an issue if their revenues drop

In the wake of F1 chief Bernie Ecclestone announcing he is studying ways to distribute the sport’s income more fairly ahead of a new deal, but Red Bull team principal Christian Horner doubts that the big teams will accept a pay cut

Ecclestone is lobbying for a system where teams get equal retainers for their partcipation, with prize money awarded for performances on track and in the constructors’ championship.

Formula One Management (FOM) has binding commercial deals with the teams until 2020 and many see this as Ecclestone’s opening salvo ahead of negotiations with F1 teams.

Horner commented, “It’s like with all these things, you’ve got to be comfortable with the amount of money you are receiving. If the money goes up for everybody that’s less of an issue than if the money has to go down for some of the teams.”

“So if more revenue can be brought into the sport it’s for the promoter to decide how the revenue is divided, but of course all the teams will have an issue if their revenues drop.”

“We’re still some way off the end of the current agreement, but inevitably probably a couple of years before the end of that agreement talks will begin and every team will cut the best deal it can, no doubt.”

“It’s for Ecclestone to decide how he wants to split the revenues, and whether teams decide to negotiate in a pack … that rarely works. It’s going to be an interesting period.”

Horner believes that Red Bull deserve their current financial bonuses are deserved, “They were centered around the other aspects Red Bull brings to Formula One in terms of we’re probably the only company/team that goes out and actively promotes Formula One with our show-car activities, the activities we have worldwide.

“We were the first team to run in Baku. Maybe that was a contributing factor to them deciding to have a grand prix there. We’ve run cars up mountains, cars up beaches, places where you wouldn’t expect to see grand prix cars, taking it out to the mass public.

“Red Bull does a fantastic job of promoting Formula One, and on top of that we have two grand prix teams and a grand prix circuit,” added Horner.

The details remain confidential, but projected 2016 payments in April put Ferrari’s CCB payment at $35 million. Mercedes and Red Bull were both in line for $39 million and McLaren $32 million. Former champions Williams receive a ‘heritage’ bonus of $10 million.

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