F1 Teams Agree To Cut Costs

F1 teams have unanimously agreed to reduce engine costs by £12m.

Ferrari chairman Luca di Montezemolo claimed that all teams have decided to reduce costs by 2011.

The decision came only a short time after the Italian company threatened to quit F1 due to conflicting views on cost-cutting measures.

But Montezemolo, who recently presided over a meeting of the newly founded Formula One Teams Association, said it was decided that engines will cost £4m by 2011 – compared to the former price of £16m.