According to a recent report from the BBC, Formula 1’s governing body have made an offer to Red Bull in order to settle the Austrian team’s recent breach of the Formula 1 budget cap regulations.
An Accepted Breach Agreement – or ABA – is where the team in question admits they have done wrong and agree to follow certain actions which is decided by the FIA’s Cost Cap. Administration. The details are currently confidential and Red Bull now has to think if they want to accept the terms laid out by the FIA, or defend their cause before the Cost Cap Adjudication Panel.
A report from Formula 1’s governing body confirmed that, following the review of all ten team’s financial reports, Red Bull had broken the cost lap limit of $145 million for the previous season. Despite it is officially seen as just a ‘minor’ spending breach, Red Bull still feel that they did not spend more than allowed, as team principal Christian Horner vehemently denying the accusations.
Yet McLaren boss Zak Brown has recently written to the FIA, explaining that the infringement should be considered as “cheating.”
Not many details have been made public by the FIA since the official confirmation of the cost breach, but privately, the FIA have presented the team with an Accepted Breach Agreement proposal – something laid out for this scenario in the financial regulations. In case the Austrian team does agree to sign it, Red Bull would as a result admit responsibility and would accept any penalty the FIA give, without having any possibility of appealing.
Show your support for Scuderia Ferrari with official merchandise collection! Click here to enter the F1 online Store and shop securely! And also get your F1 tickets for every race with VIP hospitality and unparalleled insider access. Click here for the best offers to support Charles and Carlos from the track!
But realistically it is unlikely that Max Verstappen will receive a points deduction from his Championship-winning 2021 season. However, a penalty in terms of wind-tunnel testing time and a reduction in future caps look like more feasible outcomes.
In case Red Bull does not accept the Breach Agreement, it will go to the Cost Cap Adjudication Panel, where lawyers will evaluate the case and determine if any penalty should be applied, and the severity of it.
According to sources inside the Formula 1 paddock, the Austrian team seems to have breached the budget cap regulation by about $1.8 million – with a fine of double that at $3.6 million a possibility.
Leave a Reply