The FIA has confirmed that Honda and Alpine, engine suppliers to Red Bull and Renault, have procedurally breached Formula One’s cost cap regulations.
The FIA has found that Honda and Alpine procedurally breached Formula 1’s power unit cost cap, even though neither team exceeded the spending limit. All 10 Formula 1 teams complied with last year’s financial regulations, but the FIA pointed to procedural errors at Honda and Alpine. The specific nature of those violations has not been revealed, but the FIA confirmed that neither team exceeded the spending limit. This has raised questions about the specific errors. Depending on the severity of the violations, Honda and Alpine could face penalties, including fines or sporting sanctions. The findings could affect the future of Formula 1 power unit racing.
The FIA said in a statement: “The CCA confirms that, while both Alpine Racing SAS and HRC were found to have violated procedures, neither exceeded the cost cap. Alpine Racing SAS and HRC have acted in good faith at all times and are currently working with the CCA to finalise the matter.”
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“Taking into account the nature of the defaults, the complexity of the new PU manufacturer financial regulations and the challenges faced in the first year of implementation, CCA intends to recommend that the two PU manufacturers resolve their respective defaults by accepting an Agreement for Default (ABA).”
F1: Cost Cap
Formula One’s financial rules require teams to submit accounts to the FIA to ensure their spending does not exceed a cap, which for 2023 is $135 million, rising to $138.6 million due to the addition of two races.
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Teams that breach the cost cap will typically face a financial penalty, but mitigating or aggravating factors could result in leniency or a harsher sporting sanction.
2022 is the first year of the cost cap, with Aston Martin and Williams penalised for errors in the procedures they submitted in 2021. Both teams settled with the FIA by accepting breach of contract agreements.
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