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There has been some strong support for some form of salary cap in Formula E for the last few years but plans to introduce it for 2024 were recently scrapped. Sam Smith explains why
There has been debate about implementing a salary cap in Formula E, but plans to introduce it for the 2024-25 season were recently scrapped. There are differing opinions on whether this is beneficial or detrimental to the world championship. Discussions about including a salary cap within the financial regulations began last season, but it was definitively decided in October that it would not be included until at least the 2026/27 season. Salaries in Formula E are estimated to range from €500,000 to €2 million, with most drivers falling within this bracket. Some team principals argue that a salary cap would be difficult to implement due to the various sources of income for drivers. The issue of how to police a salary cap remains to be resolved. Lobbying against a formal salary cap has been conducted by drivers and driver managers, as well as neutrals who fear it may hinder the growth of the series.
