Red Bull and FIA cost cap agreement set to be announced

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Red Bull and FIA cost cap agreement set to be announced

Formula 1

Red Bull and FIA cost cap agreement set to be announced

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An agreement between Red Bull and the FIA over the team’s budget cap breach is set to be announced on Friday ahead of the Mexican Grand Prix.

Negotiations between the two parties were ongoing in Austin last weekend but were then put on hold following the death of Red Bull team owner Dietrich Mateschitz on Saturday. Those talks were then picked up again this week to try and find a quick resolution, and RACER understands an Accepted Breach Agreement (ABA) has been finalized.

The FIA is likely to announce the punishment in full — as outlined in the Financial Regulations for transparency reasons — with Red Bull team principal Christian Horner then set to hold a press conference to discuss the outcome on Friday morning in Mexico City.

Red Bull was found to be in minor overspend breach of the 2021 Financial Regulations when the FIA announced its findings earlier this month, but maintained it felt its submission was within the cap and that there were areas of dispute with the governing body that it felt were different interpretations of the new regulations.

Rival teams have been calling for tough sanctions for Red Bull if it does accept it was in breach, claiming any overspend could have amounted to significant car performance. However, when criticizing Zak Brown for a letter the McLaren boss wrote to the FIA suggesting penalties, Horner stated the amount in question was in the hundreds of thousands of dollars and far below a 1% overspend of the cap.

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