FOTA not accepting 2010 budget cap

Ferrari team boss Stefano Domenicali has stressed that FOTA’s decision to lodge a collective entry for the 2010 World Championship does not mean that the teams accept the FIA’s proposed budget cap.

The remaining nine teams joined Williams in submitting their entries for the 2010 season on Friday, however, the Formula One Teams Association (FOTA) confirmed that the entry was conditional on a new Concorde Agreement being signed before 12 June, as well as regulations based on the 2009 season.

Stefano Domenicali has stressed that this does not mean the teams accept the FIA’s proposal for a budget cap in 2010, which they say would damage the sport by creating a two-tier system.

“Absolutely not,” he replied when asked if the teams may eventually accept the cap. “The request to make the 2009 regulations the starting point, means there will be no budget cap.

The conditional entry allows FOTA to challenge the proposed budget cap and push their agenda for achieving a more sustainable sport through the standardisation of key components on the car, and a redistribution of revenue.

“[Cost cutting] should be done by implementing a self-regulating procedure within FOTA, so that the body itself and the teams carry out the monitoring,” said Domenicali. “We know exactly what must be done and we can do it on our own, as can be seen from what has been achieved so far. In fact, this is exactly what has been happening for years as regards testing, where it is the teams that have reached an agreement among themselves to manage the situation and it works well.”

“The FIA wants to significantly reduce costs with two objectives: to stop any more existing teams from quitting the sport and to allow for the eventual entry of new teams. Both these targets can be met: costs will be considerably reduced and, at the same time, there will be considerable efforts made by the current competitors in Formula 1 to stay in the sport.”

Domenicali reaffirmed that if the conditions were not met it would be back to square one with the teams’ entries made invalid.

“It’s very simple,” he said. “The nine teams – Williams membership having been suspended that currently make up FOTA, have put in entries for the 2010 championship that will only be valid if the Concorde Agreement is signed and if the regulations will be those currently in use, but modified as per FOTA’s suggestions.

” The action taken yesterday is completely in keeping with Ferrari’s principles, as stated at the Main Board meeting on 12 May and with those of FOTA.”