The Radical F1 Relegation System That Never Happened

On February 15, 2006, Formula 1 was preparing for a brand-new season, with significant changes on the horizon. The introduction of the V8 engine and a revamped three-part qualifying format—which remains in use today—were among the most notable updates. However, a much more radical proposal was also put forward by then-FIA president Max Mosley—a football-style relegation system for F1.

A Bold Plan: Relegation in Formula 1

Mosley’s vision aimed to increase competition by introducing a system where underperforming F1 teams would be relegated to the GP2 series (now known as Formula 2). His idea was to maintain a high level of performance while ensuring that all F1 drivers were truly prepared for the intense demands of the sport.

“We should do it,” Mosley stated at the time. “What ought to happen… is that we should have a feeder formula for F1, like a properly regulated F3000/GP2, and then say that whoever wants a super license must come through that formula—no shortcuts apart from genuine ex-F1 drivers.

“And then we should have some system where the best from GP2 could move up, while the worst-performing F1 teams would be relegated.”

Why the Plan Was Doomed to Fail

Despite Mosley’s enthusiasm, the proposal faced immediate resistance from F1 teams, with several major flaws in the concept:

• Massive Cost Differences: Running a GP2 team was significantly cheaper than operating an F1 team. Transitioning between the two would have been financially impossible for many.
• Loss of Sponsorships: A relegated F1 team would likely lose its sponsors, making it difficult to recover financially and compete at a high level.
• F1’s Unregulated Spending: At the time, there was no budget cap in F1, meaning teams could spend freely. Mosley wanted to cap team budgets at $100 million, but such a move was far from reality.

To counteract these issues, Mosley suggested redistributing F1’s prize money, with smaller teams receiving a larger share.

“If we can get Bernie [Ecclestone] to spread the money evenly, or even favor the smaller teams, that would help,” Mosley explained. “A successful F1 team gets massive television exposure, while a team at the back gets just five percent of the coverage—but they cannot survive on five percent of the budget.”

The Proposal That Never Saw the Light of Day

Unsurprisingly, F1 teams strongly opposed the idea, and the plan never came close to becoming a reality. While the concept of relegation remains common in football leagues, it was simply not practical for a high-cost sport like Formula 1.

Today, F1 has introduced a budget cap and a more structured feeder system through Formula 2, ensuring that only the best talents make it to the top level. While Mosley’s proposal was never implemented, it did spark conversations about competition, cost control, and the future structure of Formula 1.