In the paddock: Adam Cooper

Liberty continues to discuss its plans for the future of F1 with the teams, with cost caps and staff cuts shaping up to be the most contentious issues

Back in April in Bahrain, the Formula 1 teams learned about key aspects of Liberty’s plans for the future, and in particular the financial side. It was clear that the rich would be getting poorer, and vice versa, leaving those walking out of the gathering with distinctly mixed feelings.

As promised, discussions have subsequently continued on an individual basis. Chase Carey, Sean Bratches and Ross Brawn have been kept busy visiting team factories, and popping in and out of motorhomes. The general idea was to canvass unvarnished opinion on a one-to-one basis, without the posturing and parrying that inevitably goes on when bosses get together in group meetings. After six weeks of such interaction, there was a second Liberty presentation in Monaco, where a few more dots were joined, although there’s a long way to go.

The two teams with the most to lose, and who are least happy with the direction taken on engines and finances, are Ferrari and Mercedes. Recently, they have largely kept their powder dry in public, and there have been no outbursts from Ferrari chairman and CEO Sergio Marchionne. However, they are still quietly pushing for what they want.

“Things are not going according to our requirements at the moment,”admitted Mercedes chief Toto Wolff.“but it’s a good process. We had a presentation in Bahrain that was to the point, we understood what Liberty’s strategy was in relation to the most important topics, and we’ve had an update [in Monaco] on technical regulations, on their vision around the engine, on cost cap.

“I see some common sense on the table. It was a productive discussion. There are still areas where we are very far away, but it is moving forward in a constructive, structured process.”

Crucially, Mercedes and Ferrari are no longer fighting the loss of the MGU-H, and are resigned to the fact that there will be some dumbing-down of technology. Still up for discussion are things such as restricting dyno time to cap development costs, and the number of power units allowed per year, which will certainly rise from the current level of three.

Engines aside, the major point of contention remains the cost cap, and specifically the impact that will have on staff levels for the major teams, who hitherto have been expanding on an annual basis.

It’s a complex and contentious area. The FIA engaged former Mclaren boss Martin Whitmarsh in a consultancy role, specifically to study this subject, and apparently it didn’t go down well when he pointed out how difficult it was going to be to implement…

Discussions revolve around the timing of how downsizing would work – nobody expects teams to let go hundreds of people on December 31 2020.

“This was a very good point where Liberty recognised that a cost cap cannot be an event, but it needs to be a process,”said Wolff.“it needs to go over several years, and it needs to consider the various structures that are being put in place. And they are taking our feedback on board. It is clear that we will all be protecting our structures in a way, and we have expressed that.”

Red Bull is more on message with the cost cap, but the Milton Keynes team will still have to face some challenges.“i think, of course, there has to be an extremely responsible approach by the governing body and the commercial rights holder,”said team boss Christian Horner.“because certainly within the UK you are talking of potentially thousands of jobs, and if a local car plant closes shop it makes headline news at the moment.

“I think there’s a social responsibility that needs to be taken into account when talking about restrictions and caps and so on.”

Brawn believes that staff members dropped by the big players could find a home elsewhere as the smaller teams benefit from an improved financial situation. But it’s not a given that smaller teams will increase headcounts. They may be better off, but they have to dig themselves out of debt before they undertake any major expansion. There’s another question – would you automatically sign up the first staff members made redundant by a big team?

“I think Ross’s point is reasonable,”said Force India’s Bob Fernley.“there will be some absorption, but it’s the quality of people that you’re absorbing that you’ve got to look at! It will depend what the market is at the time.”

Meanwhile, the discussions continue. We can only hope that, in the end, we get the sport that we want, and that self-interest does not dominate, as it always has.

“We’re all going to have to give up something to make it work,” added Fernley.“maybe we’ll have to give up the glide path, and it’s not as quick as we’d like it to be. The cost-cap principle they’ll have to give up, because it’s not where they want to be. So everybody’s going to have to give and take a bit, to get it through.”

“FERRARI AND MERCEDES ARE THE TEAMS WITH MOST TO LOSE, AND WHO ARE LEAST HAPPY”