Red Bull has called a press conference for Friday to discuss the fallout from their breach of Formula 1’s budget cap.
After months of analysis, the team was found by the FIA to have committed a “minor overspend” of last year’s $145m limit, meaning the exceeded amount was less than five percent or $7.25m above.
Red Bull responded by voicing “surprise and disappointment” at the outcome and will outline their position to the media ahead of practice at the US Grand Prix according to multiple reports, including Sky Sports.
Also Read:
- Financial penalties not enough for budget cap ‘cheating’ – McLaren
- Mercedes prepared to breach F1 budget cap in 2023 if Red Bull lightly punished
- Ferrari: Maximum penalties needed to avoid F1 budget cap ‘collapse’
Several explanations have already been speculated upon as to why Red Bull exceeded the cap, though none have indicated the team blatantly overspent on car development.
Instead, there appears to be a dispute with the FIA over what is and is not included under the financial regulations, with the status of chief technical officer Adrian Newey among them.
Red Bull argues he is an employee and is therefore excluded as one of the three highest earners at the team, while the governing body claims he is a contractor.
At the same time, BBC reporter Andrew Benson has tweeted an offer has been made to Red Bull by the FIA as part of an “accepted breach agreement”.
Details of that agreement remain confidential with the team now having to decide between accepting or going before a judiciary panel to make their case.
Under the financial rules, Red Bull could face points deductions from 2021 in both championships, potentially stripping Max Verstappen of his first F1 title.
Other penalties include a fine, suspension from Grand Prix weekend sessions except for the race or a reduction of their budget cap and/or wind tunnel testing time in 2023.
