Publications 01/13/2025

Will team budgets in cycling soon be capped?

The Union Cycliste Internationale (UCI) recently approved the principle of a budget cap for WorldTour teams, aimed at preserving sporting fairness by limiting the financial disparities between them.

This measure, which is distinct from a simple salary cap, encompasses all team expenses and could be implemented as early as 2026.(1)

According to Christian Prudhomme, the boss of the Tour de France, “with capital coming in from Arab countries in particular, the match is a little unbalanced“(2)

Some teams are run by States (UAE Team Emirates, Bahrain-Victorious or Astana Qazaqstan, for example) with considerable resources, which enables them to create teams made up of numerous stars of the discipline, thus annihilating the competing teams who cannot afford so many favourites.

For example, UAE Team Emirates offered a golden contract to the famous Slovenian rider, Tadej Pogacar, with an estimated salary of 50 million euros over the next six seasons, excluding any bonuses. An amount unheard of in the history of cycling.

By way of comparison, the average rider earns around 500,000 euros a year.

According to La Gazzetta dello Sport, the release clause in Tadej Pogacar’s contract is worth €200 million. In other words, it is highly unlikely that any other team will be able to lure the Slovenian.

This concentration of resources within a few teams creates a significant imbalance, making it difficult for teams with smaller budgets to compete at the highest level.

A cap on the overall team budget would thus promote fairer competition between teams, along the lines of the mechanisms put in place in the National Football League (NFL) in the United States or in French rugby. Teams will still be able to pay their athletes generously, but on condition that they balance the budget elsewhere, so as not to exceed the total envelope.

The idea is to have good riders in each of the teams. That we don’t have a concentration of resources in just one team. And to ensure that we have leaders in each team and that the race is more interesting. That’s the objective,” explained UCI President David Lappartient back in 2018.

However, the budget cap is not guaranteed to be the miracle solution to inequalities.

As cycling relies on sponsors, whose volatility is well known, the question is whether these same sponsors will remain committed if their competitive advantage is drastically limited.

Sponsors, being attracted by the prospect of victories and dominance in major races, could review their commitment if their ability to put together competitive teams were to be curtailed.

The actual introduction of this budget cap has yet to be confirmed, and its adoption could significantly transform the landscape of professional cycling in the years to come.

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Discover the news from:

(1) L’Equipe, 17 March 2024

(2) Midi Libre, 17 November 2024