F1 Agrees Cost Cuts For Smaller Teams

Motorsport governing body The FIA and the representative body for the F1 teams have agreed to cut costs for the sport’s smaller teams from next season.

FIA president Max Mosley and Ferrari chairman Luca di Montezemolo, also chair of the newly formed Formula One Teams Association, issued a statement saying the agreement would produce ‘significant cost savings for 2009 and 2010’.

Officials of three teams, who wished to stay anonymous, said that the cost of engines supplied to independent teams will be capped at $13.2m a year. The engines will also run for three instead of two race weekends.

The FIA and FOTA met in Geneva to discuss cost-cutting measures for both and long and short term and the statement read that the teams were ‘working urgently on further proposals for 2010 and thereafter’.

Mosley said earlier this month that, even without the global credit crunch, the sport had become unsustainable at the current levels of spending.

The teams will meet during the Brazilian Grand Prix between 31th October and 2nd November to discuss changing the testing mileage from 2009, the team officials said.
 
The FIA and FOTA will meet again after the race to modify the rules for chassis design from 2010.