LONDON • Formula One is in "a very fragile state" because of the coronavirus pandemic and risks losing some of its 10 teams unless some big changes are made, McLaren chief executive Zak Brown warned on Sunday night.
The season has yet to start, with two races, the Australian opener and the showcase Monaco Grand Prix in May, cancelled and six postponed so far.
The June 14 Canadian GP in Montreal, which is now the first race on a disrupted calendar, also looks set to be pushed back this week, according to British tabloid The Sun.
Two of the city's flagship summer music festivals, Les Francos de Montreal and the Montreal Jazz Fest, have already been axed owing to lockdown measures and global travel restrictions in place.
With the June 28 French GP also in serious doubt, F1 is getting perilously close to its minimum requirement of at least eight races to hold a championship.
This was supposed to be a groundbreaking year for F1, with a record 22 grands prix planned, but everything has been thrown into disarray because of the Covid-19 crisis.
As such, the sport has already made some changes, including postponing a planned major technical rule change from next year to 2022, and agreeing teams will use the same cars next year.
Brown, however, believes teams will go under unless there is more help, with ratings agency Moody's already changing F1's outlook from positive to negative.
The American told the BBC: "Could I see - through what is going on right now in the world if we don't tackle this situation head on very aggressively - two teams disappearing? Yeah.
"In fact, I could see four teams disappearing if this isn't handled the right way."
On the US$150 million (S$214.8 million) budget cap due to come into force next year, Brown indicated there was a push for it to be reduced further - possibly to US$100 million.
He added that the uncertainty from an economic and health standpoint meant it should not be assumed anyone would be lining up to take over any struggling teams.
"I don't think the timing could be worse from that standpoint," Brown said. "So I think F1 is in a very fragile state at the moment."
Last week, McLaren became the first team to put staff on furlough and, yesterday, Williams became the second team to place many of their employees under the British government's scheme, which subsidises 80 per cent of wages up to £2,500 (S$4,404), and is designed to mitigate the impact of Covid-19.
Its drivers, George Russell and Nicholas Latifi, as well as senior management will be taking a 20 per cent pay cut.
In a statement, Williams said it was temporarily furloughing a number of employees as part of a wider range of cost-cutting measures. The period will last until the end of May.
"These decisions have not been taken lightly. Our aim is to protect the jobs of our staff... and ensuring they can return to full-time work when the situation allows."
REUTERS
