For the 2018 season, the Chennai Super Kings and Rajasthan Royals were reinstated in the league after serving a two-year suspension from the competition due to the involvement of their players in the 2013 IPL betting scandal. The IPL governing council decided that a maximum of five players can be retained by each IPL team. SRH retained only two players and released all remaining players from the squad. The retention of two players meant SRH went in to the 2018 IPL auction with 59 crore in their auction purse and three right-to-match (RTM) cards. The salary deduction for every retained player from the franchise's salary purse was stipulated to be 15 crore, 11 crore and 7 crore if three players were retained; 12.5 crore and 8.5 crore if two players were retained; and 12.5 crore if only one player was retained. For retaining an uncapped player, salary deduction was set at 3 crore. David Warner had stepped down from captaincy on 28 March 2018 and the BCCI announced that he will not be allowed to play in IPL 2018 following the Australian ball-tampering controversy. On 29 March, New Zealand captain Kane Williamson was chosen to lead SRH for the 2018 season. On 31 March, England batsman Alex Hales was announced as replacement for the banned David Warner. SRH finished the 2018 season as runners-up of the competition after losing to Chennai Super Kings in the final with 10 wins and seven losses. Williamson won the Orange Cap with 735 runs.