Formula One would have us believe the sport is struggling in terms of finance this season. Two races have fallen from the calendar due to the war in Iran, and it will soon be announced that the final rounds in Qatar and Abu Dhabi have also been shelved.
The Cracks in F1’s Finances
The teams have seen a drop in their income from the commercial rights holder of $127m in the first half of 2026, while F1’s operating income fell in quarter one by 38%. The Middle East problem may yet prove to be one that affects next season too—and maybe even longer-term—so F1’s dependence on oil money from the likes of Saudi Arabia, Bahrain, Qatar, and Abu Dhabi may need to be rethought.
Yes, the Bahrain Grand Prix will now be held in Malaysia during September, but indubitably the hosting fee and ticket revenue will be a fraction of what was expected from the planned third round of the season. It could be that the season finishes in Europe at Imola—so long as it’s not snowing—but again, the fees and ticket sales for that event will be dwarfed by the monies lost from Qatar and Abu Dhabi.
Paddock Club Boom and the Sprint Cash Injection
Yet in many other ways, F1’s finances are in rude health. Paddock Club revenue—where a person typically pays at least $2,000 a day for an all-inclusive F1 experience with the odd retired driver and minor celebrity thrown in—is completely sold out.
And it now transpires that Sprint weekend revenue from host circuits is also on the increase, as promoters pay extra for competitive F1 action on track each day from Friday to Sunday. Such has been the success of the Sprint format that there will be more than the current six next season, reveals F1’s CEO.
“We are going to have more sprint races next year, and we will inform when we announce the [2027] calendar how many,” said Stefano Domenicali on an investor call on Thursday this week. “The principle is simple. This is an opportunity to increment the revenue stream that we can really leverage from a commercial point of view.”
The On-Track Reality: Baku’s Boring Parade
Not every circuit suits the 100km mini-race. When Sprint races take place at tracks where overtaking is either too easy, too dangerous, or thermally catastrophic, the format falls completely flat. The 2023 Baku Sprint was universally slammed as one of the most boring 30 minutes of F1 ever broadcast. Drivers realized early on that crashing into the walls on a narrow street circuit would ruin their entire weekend (and destroy their team’s budget cap allowance). Once the initial lap settled, the drivers simply cruised in a line to save their cars, resulting in a completely processional “parade.”
Chaos and Danger: Qatar and Spa Failures
While the 2023 Sprint technically saw Oscar Piastri take his first Sprint win in Qatar, the event was an operational nightmare. Severe tyre degradation caused by high-frequency kerb vibrations forced Pirelli to mandate maximum stint lengths during the main race, turning the Grand Prix into a forced multi-stop sprint. The Sprint itself was chaotic, but the extreme heat and physical strain left drivers collapsing post-race, sparking massive backlash over driver safety.
Rain delayed the Sprint significantly in Spa in 2023, and when it finally ran behind the Safety Car for half its length, drivers were forced to immediately pit for Intermediate tyres the moment the Safety Car pulled in. Rather than showcasing strategic and racing brilliance, it devolved into a chaotic pit lane traffic jam where track position was decided by pit box location rather than on-track overtakes.
There are a number of senior paddock individuals who believe the Sprint could be tweaked further to improve the often processional event where no one stops for tyres, given the 1/3-distance Grand Prix over which it is run.
Commercial Ambition vs. Event Scarcity
Yet despite promoters paying more for a Sprint weekend and the number of events set to rise above six, Domenicali believes Sprint weekends should be rationed. “If commercially we were to go everywhere [with the Sprint], that’s not a value that we can really produce from a commercial point of view anymore,” he added. “But definitely we’re going to move further up in terms of what the number is in the future. That’s 1000% what will happen next year.”
Monetizing the Elite: Enter “The Outlap”
With the high-end Paddock Club now sold out for the remainder of the year, Formula One Management (FOM) has come up with another new wheeze to strip dollars from its new high-net-worth and celebrity followers. “The Outlap” is being launched—and no, this is not a lap of the circuit in a two-seater F1 car.
This will be a luxury dining experience in partnership with LVMH, featuring twelve guests enjoying a Michelin-star food extravaganza in a specialized container vehicle while being driven around the circuit on Thursday evening. This was first trialed at this year’s Belgian Grand Prix and was priced at €10,000 a head.
Fan Backlash: “Money First, Sport Second”
While Domenicali claims the 60,000 devoted f1.com fans are enjoying this season’s on-track action more than last year’s, the comments sections of dedicated and historic F1 websites tell a different story. Reader Evan Canny posted his thoughts on the ‘money-cannot-buy’ F1 experiences springing up:
“F1 will have more ‘money-cannot-buy’ events. For example, pay 10 grand and you can experience the Outlap. So, the plan is to use an event that (a lot of) money can buy to market an ‘experiential’ campaign that will focus on holding events that ‘money cannot buy.’ Great logic. Only time will tell if they listen to Norris’ comments and take heed—money first, quality of sport second, which should not be how the sport is run—but somehow I doubt they will.”
Stagnating Growth Behind the Hype
Among all the hype of F1’s mega-growth, recent data released suggests that since Apple acquired North American TV rights, the sport has seen a mere 6% increase in viewers this year. Given this market represents roughly 1/80th of global viewership, it is hardly revolutionary in terms of engaging new fans.
The Unresolved Financial Hole
Yet the message will continue to ring out: ‘F1 is getting bigger and better every day, week, and month.’ However, should Middle East unrest continue for years—much like the war in Ukraine—some radical thinking will be required to fill the black hole in F1’s finances. And no amount of “Outlap” payees will be enough to patch that gap.
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A.J. Hunt is Senior Editor at TJ13, where Andrew oversees editorial standards and contributes to the site’s Formula 1 coverage. A career journalist with experience in both print and digital sports media, Andrew trained in investigative journalism and has written for a range of European sports outlets.
At TJ13, Andrew plays a central role in shaping the site’s output, working across breaking news, analysis, and long-form features. Andrew’s responsibilities include fact-checking, refining editorial structure, and ensuring consistency in reporting across a fast-moving news cycle.
Andrew’s work focuses particularly on the intersection of Formula 1 politics, regulation, and team strategy. Andrew closely follows developments involving the FIA, team leadership, and driver market dynamics, helping to provide context behind the sport’s biggest stories.
With experience covering multiple seasons of Formula 1’s modern hybrid era, Andrew has developed a detailed understanding of how regulatory changes and competitive shifts influence the grid. Andrew’s editorial approach prioritises clarity and context, aiming to help readers navigate complex developments within the sport.
In addition to editorial duties, Andrew is particularly interested in how media narratives shape fan perception of Formula 1, and how reporting can balance speed with accuracy in an increasingly digital news environment.
