The Formula One teams are believed to be close to reaching an agreement on a package of cost-cutting measures for next season, an essential precursor to a new Concorde Agreement being signed.
As part of the peace deal that was struck between the Formula One Teams Association (FOTA) and the FIA at the Word Motorsport Council meeting on June 24, it was agreed that the teams would work together to reduce spending to the levels seen during the 1990s. Max Mosley’s controversial budget cap was dropped.
All thirteen of the Formula One teams due to compete in the 2010 season met at the Formula One Teams’ Association (FOTA) headquarters in Geneva on Thursday to finalise a package of measures to achieve this and sign of a crucial cost-regulation document. The meeting was chaired by Toyota boss John Howett in the absence of FOTA President Luca di Montezemolo.
Although the measures have yet to be made public, a greater standardisation of parts are known to be on FOTA’s cost-cutting agenda.
According to reports, a unified stance on the issue of cost reduction has now been reached, although the financial document has yet to be signed off.
A formal agreement will pave the way for a new concorde agreement being signed on the structure, governance, business, and regulation of the sport.