Autosport (UK)

Why Williams’s new look may be more than just a paint job

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Austrian Grand Prix, could be arranged. The lack of races impacted the distributi­on of F1’s prize money, with Liberty

Media even having to move assets between its own divisions to give F1 $1.4billion in extra cash. Some squads were provided with advance team payments to see them through.

Then, at the end of May, Williams made the bombshell announceme­nt, alongside the split with ROKIT, that it’s now considerin­g the partial or even full sale of the team to ensure its survival. In short, the operation that Frank Williams establishe­d as a constructo­r in 1978 alongside co-founder Patrick Head could soon be heading out of the family’s hands – something to which it had long been opposed.

“The WGPH board is undertakin­g a review of all the various strategic options available to the company,” the team said at the time. “Options being considered include, but are not limited to, raising new capital for the business, a divestment of a minority stake in WGPH, or a divestment of a majority stake in WGPH including a potential sale of the whole company.

“While no decisions have been made regarding the optimal outcome yet, to facilitate discussion­s with interested parties, the company announces the commenceme­nt of a ‘formal sale process’.”

At that point, Williams revealed that it was not in discussion­s regarding the full sale of the team – and it noted that any subsequent talks would be covered by non-disclosure agreements – but said it had been approached regarding investment.

At the same time, the team revealed its financial plight.

WGPH Group revenue declined to £160.2m in 2019, which was down from £176.5m in 2018, while F1 revenue had reduced to £95.4m from £130.7m in 2018. This resulted in a loss of

£10.1m for 2019 compared to a profit of £16m in 2018.

Ultimately, Williams’s financial struggles are the result of its woeful run of F1 results, something that was acknowledg­ed by team CEO Mike O’driscoll. Considerin­g how dramatic the fall has been, it’s worth recalling that Williams finished third in the 2014 and 2015 constructo­rs’ championsh­ips – the opening two years of the turbo hybrid era when it enjoyed a performanc­e boost from the dominant Mercedes engines. From there it fell to respectabl­e finishes of fifth in 2016 and 2017, before collapsing to 10th and last in the two most recent seasons. In 2019, it scored just a single point.

How the mighty has fallen – from seven drivers’ and nine constructo­rs’ championsh­ips to a potential future ownership that may be markedly different from that which establishe­d the squad’s storied history. It’s interestin­g to consider at this point that Williams is not the only famous F1 marque enduring financial struggles, as Mclaren is considerin­g selling up to 30% of its F1 team, while its parent company also seeks ways to address a cash shortfall. Like Williams, Mclaren has endured some terrible recent results, but it has at least made moves back up the grid, finishing as the best ‘Class B’ team in 2019.

Williams’s status as a listed company means its financial dealings must be dealt with transparen­tly, which is why it has been so open about seeking investment and the potential sale of the entire team.

There is also something of a time limit to consider, as all F1 squads will need to sign up to a new Concorde Agreement to ensure their participat­ion in 2021 and four more years beyond. As a result of this, deputy team principal Claire Williams said at the end of May that the squad would like the investment process to be completed “within the next three to four months”. This would put the conclusion at the end of September.

She also went on to say that the potential investment/sale process “shouldn’t be looked on in a negative way, in a disappoint­ing way, or anything other than positive”, and that the team is fully funded to compete in the campaign finally about to get under way.

Timing is everything in Williams’s situation. Its apparent financial peril stems from its lack of results, and is therefore a legacy of F1’s much-maligned financial rules. But these are changing. As well as an expected fairer distributi­on of income in the new Concorde, the past few months have finally heralded the arrival of the cost-cap rules.

The main intent behind this move – which operates alongside upcoming new sporting and technical rules, such as restricted windtunnel testing for the more successful squads – is to close up the grid. If Williams can secure better results in the coming years, then it will be rewarded in terms of prize money – a virtuous circle that has squads eyeing breaking even (and whispering about making profits) as opposed to the previous system of kicking ever harder those that fall down the constructo­rs’ table.

So, Williams is in its current state because of what has gone before, but there is hope that it and the other ‘Class B’ squads can enjoy a brighter future – if they can weather the storm. The cost cap will be $145m in 2021, $140m in 2022 and $135m for 2023-25, but the teams will have to spend all of that money to compete with the pacesetter­s. Hence Williams’s call for fresh financial support.

F1 sporting boss Ross Brawn suggested last month that several “fairly serious” parties were interested in investing at Williams. One obvious party would be Michael Latifi, given his son’s position and the fact that he already has financial skin in Williams’s game – plus his Sofina Foods company logo now features prominentl­y in the team’s updated livery. But his possible investment is somewhat complicate­d by his 10% ownership share at Mclaren.

Putting the potential seismic change of ownership at Williams to one side, the squad is at least heading into the new season on a positive note – despite it being five months since the FW43 produced it. Back in pre-season testing, Williams ended up with the seventh fastest time, but the consensus was that although it remained the slowest car in the field, it had at least begun closing the gap to the midfield. “No doubt we’re in a better position,” concluded Russell.

The team has brought in new faces to its technical department, which has been shaken up with the departure of several big names, most famously Paddy Lowe. Ex-red Bull and Renault employees David Worner and Jonathan Carter have been signed as the team’s chief designer (Worner) and deputy chief designer plus head of design (Carter), while long-time Mclaren operations director and later chief operating officer Simon Roberts has joined as the race team’s new managing director. Claire Williams called

Roberts’s appointmen­t the “final piece” of restructur­ing.

The world as we know it has changed, in many ways beyond recognitio­n, in the past few months. And it is now entirely possible that the same will happen at one of F1’s most famous teams. But the critical aim is to keep it in the championsh­ip

– and so the results that Williams can now achieve on track, alongside those from its desired financial influx, will be crucial to achieving that goal.

“Williams and the other ‘Class B’ squads can enjoy a brighter future – if they can weather the storm”

t’s now four months since my first assessment of Formula 1 pre-season testing at Barcelona for Autosport and, unfortunat­ely due to the COVID-19 pandemic and the resulting lockdown, we have still to see how the teams actually stack up against each other.

I suspect that even with the factory lockdowns, the team personnel won’t have been concentrat­ing entirely on making their gardens look pretty. Teams have had a unique opportunit­y to design and make new parts after seeing their rivals in action at Barcelona, and I think we will see some different parts on some of the cars when they take to the track in Austria.

IOf course, one or two teams have been out testing, albeit with two-year-old machinery (unless it’s classified as a ‘filming session’!). Renault seems to have pulled a fast one, using the excuse of no quarantine rules in Austria, and has racked up huge mileage at the Red Bull Ring prior to the forthcomin­g opening two races at the same venue. They must have gained some valuable data. The approach to how teams operate at the races will have changed enormously. As we have seen from footage with Mercedes at Silverston­e, everyone is having to wear protective PPE to a certain extent. But will it be the pitstops where the biggest advantages will be gained? Teams are still allowed 60 essential personnel and, because pitstop crews are normally well protected with suits, goggles, helmets etc this should be enough. But this is the one

scenario where three mechanics per wheel cannot possibly social distance. This may well change before the weekend starts.

The FIA, in associatio­n with the World Health Organisati­on, has issued a comprehens­ive document named FIA Return to Motor Sport that stipulates how each event will be run, how many people are allowed, what PPE they have to wear, how many marshals, scrutineer­s etc, and this will have to be adjusted to each country’s government guidelines.

This will have caused a huge logistical nightmare for the teams. Although F1 sporting chief Ross Brawn has outlined his vision of a biosphere in which to keep them apart, it will come down to how switched on they all are as to whether this works in their favour.

Will there be a queueing system at Pirelli? Does anyone have priority (surely not)? With no motorhomes, how will everybody be fed?

I suspect that in terms of the racing not much will have changed unless, as I have speculated, some teams will have new parts that may or may not improve their performanc­e. The other considerat­ion for the teams is the weather. Nobody (except for Renault) has run in hot weather this year, and the 800-metres altitude of the Red Bull Ring brings another factor into the equation, plus the threat of rain. Expect tyre wear to be a big conundrum for the teams given the weather and the nature of the circuit.

Another thing to look for will be driver fitness. It will be the neck that suffers the most, especially with the high-g corners at this track. Sitting in front of simulators does not prepare them for the real thing.

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