Catch-up session – Week 20

As every Monday, Motors Inside offers you a catch-up session with no equivalent. The essentials of the F1 news from the past week compiled into an article. On the agenda, the aftermath of the budget cap issue. After Toyota and Red Bull, two other major manufacturers have threatened to leave the sport in 2010 if the budget cap is applied as currently defined. In response to this, the FIA has decided to organize an emergency meeting between the governing bodies and the FOTA. While Formula 1 could be in crisis within a few weeks, this dreaded £40 million budget cap is seen as an opportunity by others. This week, two teams have confirmed or reaffirmed their desire to join the premier category of motorsport.

The threats from Ferrari and Renault for 2010

During the Spanish Grand Prix, two manufacturers warned the governing bodies of Formula 1. Indeed, Toyota and Red Bull, to which Toro Rosso (the small Scuderia belongs to the Austrian team) must be added, had threatened to leave the world of F1. The disagreement comes from the budget cap of 40 million pounds (over 45 million euros) which, according to the teams, would lead to a two-speed Formula 1. This is also the opinion of Ferrari and Renault, as these two manufacturers are also threatening to withdraw from the sport. Five teams are now in opposition, the crisis is settling in…

Read about Ferrari’s threat to withdraw from Formula 1

Read about Renault’s threat to withdraw from Formula 1

The FIA’s Reaction

In response to the onset of this crisis, the FIA took the initiative by organizing an emergency meeting last Friday between the different parties. Held in London, the purpose was to discuss the budget cap and the solution that would resolve the crisis. Around Max Mosley and Bernie Ecclestone, the opposing teams presented their viewpoints. Expectations for the outcome of this meeting are high because the deadline for applications for 2010 is set for Friday, May 29. Time is of the essence…

Read the presentation of this meeting in London

No results for now

This highly anticipated meeting brought nothing to resolve the crisis. Even though according to Mosley, the meeting was rather friendly, it remains primarily a failure. The budget cap is therefore maintained, and it is up to the teams via FOTA (the association of F1 teams) to provide an alternative solution if there is one. This implies more meetings, but the most worrying thing now is the deadline of May 29. As of today, there are only 11 days left to resolve the crisis unless this date is postponed…

Read the report of the London meeting

Read Max Mosley’s reaction after leaving the meeting

When some are tearing apart, others are moving forward…

With the current regulations, a team can enter and secure its presence in Formula 1 with a budget of 45 million Euros. This is a boon for many teams that were previously too financially constrained. Thus, Litespeed GP, the team of Mike Gascoyne (former director of Force India), is preparing for an entry into the 2010 championship while Lola admits to being ready to submit its application immediately.

Read about Litespeed GP’s intentions to join F1

Read the official announcement of the Lola team’s application