F1 News, Reports and Race Results

Shorter season sees Mercedes entry fee cut by $1 million

The reduction in the number of races held in 2020 had led to a corresponding cut in the amount that teams will have to pay the FIA to take part in next year's Formula 1 world championship.

This season had originally been meant to consist of 22 races, more than any previous seasons. But disruption caused by the outbreak of the coronavirus pandemic reduced that to just 17 Grands Prix packed into 161 days.

Since the sport's financial restructuring in 2013, the amount that teams have to pay to take part in the season are calculated based largely on the constructors championship points won the previous year.

But the lower number of races in 2020 means that there have been fewer points on offer, and this is reflected in the entry fees for next season.

Mercedes finished 2019 with 739 points but this has dropped to 573 this season. Similarly, Ferrari finished last year in second place with 504 points but this year's runners up Red Bull ended up with 319 points.

The calculation meant that Mercedes had to pay $5,490,812 to take part in this year's championship, which includes an initial flat fee of $556,509. As the reigning champions they then had to pay an extra $6,677 per point won in 2019.

Other teams pay a levy of $5,563 for each point, which means that Ferrari had to pay total entry fees of $3,360,261 after finishing in second place and Red Bull a total of $2,876,280.

But with the existing formula set to remain unchanged, the lower number of points means that this year Mercedes will be asked to pay up a 'mere' $4,382,430 - a drop of over a million dollars.

This year's runners-up Red Bull will be asked for $2,331,106, while a dismal season for Ferrari means they will only have to find $1,285,262 from the petty cash at Maranello.

Finishing in third place in the championship this year, McLaren's contribution to the FIA's coffers rises from $1,363,144 to $1,680,235. But they will also get a bigger share of the prize money for finishing higher in the final standings.

There's no such trade-off for the FIA as a whole however. The lower fees being paid by teams, along with a loss of other incomes revenue streams as a result of the disruption by coronavirus means that the governing body's accounts will inevitably take a big hit.

2021 fee calculations

Team 2020 Points Points-based fee Total fee
Mercedes 573 $3,825,921 $4,382,430
Red Bull 319 $1,774,597 $2,331,106
McLaren 202 $1,123,726 $1,680,235
Racing Point 195 $1,084,785 $1,641,294
Renault 181 $1,006,903 $1,563,412
Ferrari 131 $728,753 $1,285,262
AlphaTauri 107 $595,241 $1,151,750
Alfa Romeo 8 $44,504 $601,013
Haas 3 $16,689 $573,198
Williams 0 $0 $556,509

2020 fee calculations

Team 2019 points Point-based fee Total entry fee
Mercedes 739 $4,934,303 $5,490,812
Ferrari 504 $2,803,752 $3,360,261
Red Bull 417 $2,319,771 $2,876,280
McLaren 145 $806,635 $1,363,144
Renault 91 $506,233 $1,062,742
Toro Rosso 85 $472,855 $1,029,364
Racing Point 73 $406,099 $962,608
Alfa Romeo 57 $317,091 $873,600
Haas 28 $155,764 $712,273
Williams 1 $5,563 $562,072

All teams pay basic flat fee of $556,509

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Andrew Lewin

Andrew first became a fan of Formula 1 during the time when Michael Schumacher and Damon Hill were stepping into the limelight after the era of Alain Prost, Nigel Mansell and Aryton Senna. He's been addicted ever since, and has been writing about the sport now for nearly a quarter of a century for a number of online news sites. He's also written professionally about GP2 (now Formula 2), GP3, IndyCar, World Rally Championship, MotoGP and NASCAR. In his other professional life, Andrew is a freelance writer, social media consultant, web developer/programmer, and digital specialist in the fields of accessibility, usability, IA, online communities and public sector procurement. He worked for many years in magazine production at Bauer Media, and for over a decade he was part of the digital media team at the UK government's communications department. Born and raised in Essex, Andrew currently lives and works in south-west London.

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