McLaren team principal Andreas Seidl sees the incoming budget cap as the only way Formula 1 can provide equal competition between teams in the future.

With F1 bosses confirming a budget cap of $175 million per year will be installed in its rules from 2021, with certain topics omitted from the cap including driver salaries, McLaren has been a vocal backer of the regulations shake-up set to hit the sport.

Seidl dismisses the notion the top three teams in F1 are leading purely because of its bigger spending power but sees the budget cap as a vital tool to provide “a level playing field” in the sport’s future and also provide sustainability.

“The big teams are not just there because of having more money they simply do a better job compared to us,” Seidl said. “The budget gap is important as it’s the only chance to have a level playing field in the future. For sure it will take time before the budget cap washes out.

“It’s not a secret we’re in favour of the regulations, we supported FIA and FOM a lot, it’s the next important milestone on our way back, in terms of let’s say getting a head start by putting more resources in 2020 for the big three teams. As I said before they do a better job now so they will do a better job in 2020, which gives them an automatic head start.

“But there are still limitations in place on the wind tunnel and CFD side which allow you to only do so much so I don’t think this is the biggest issue that we don’t have a budget cap in place for 2020.”

F1 organisers have also warned heavy penalties will hit any team which exceeds the budget cap from 2021 onwards.

All teams will be required to submit 2021 financial information in March 2022 which will be reviewed by the FIA, FOM and financial experts Deloitte.

If any team falls foul of the incoming budget cap rules, sporting penalties will be applied with chief Ross Brawn threatening “if you fraudulently breach the financial regulations, you will be losing your championship”.