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F1 2022 thread - see post 1 for rules

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Comments

  • Registered Users, Registered Users 2 Posts: 11,790 ✭✭✭✭Burkie1203




  • Registered Users, Registered Users 2 Posts: 15,499 ✭✭✭✭dulpit


    https://the-race.com/formula-1/red-bull-agrees-terms-with-fia-over-2021-f1-cost-cap-breach/




  • Registered Users, Registered Users 2 Posts: 10,017 ✭✭✭✭PsychoPete


    F1 social media is already an absolute cesspit as it is, can only imagine how bad it will be after that announcement



  • Registered Users, Registered Users 2, Paid Member Posts: 15,110 ✭✭✭✭JRant


    Finally an end to it all.

    Expect to see massive catering bills for Merc and Ferrari next year 🤣

    "Well, yeah, you know, that's just, like, your opinion, man"



  • Registered Users, Registered Users 2 Posts: 15,499 ✭✭✭✭dulpit


    Nearly $2 million over the cap seems very high. The fine won't matter, 10% reduction in aero testing might have some impact.

    I feel the impact should have been more severe here...



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  • Registered Users, Registered Users 2 Posts: 2,871 ✭✭✭Dave0301


    2 million is more than an accounting error or misappropriation of funds. Can see why other teams would be raging.



  • Registered Users, Registered Users 2 Posts: 49,267 ✭✭✭✭Mitch Connor


    Can other teams appeal this type of decision?

    I can see other teams, warranted or not, wanting (1)to know more about how they breached , (2) a full break down of initial findings and final agreement and (3) potentially a bigger punishment - given they have been saying half a million more in budget would have been significant in their own dev programs.



  • Registered Users, Registered Users 2 Posts: 1,412 ✭✭✭KillerShamrock


    Does the Fine come out of the budget for next year or is it paid seperately? cause its nothing for a team like redbull, such a small penalty, watch merc and ferrari break it next year too and use this as an example for the most they should get punished.

    Should come out of thier budget along with a higher wind tunnel penalty 25% or more even though they already have less as constructors champions and a cost cap reduction for a number of years with every additional breach for the next 2-5 years doubling all penalties.

    Glad it wasnt any sporting penalties like point reductions or DQs as they would of been stupid but if they went to a major breach then it should of been a DQ from both championships for the following year along with no wind tunnel time.

    But sure a lot on here will say thats unfair on red bull they were just feeding staff/paying sick leave, if it were merc half of the posters here would be expecting merc and hamilton to lose all their championships.



  • Registered Users, Registered Users 2 Posts: 2,871 ✭✭✭Dave0301


    Waiting to see the full details, but apparently if a tax credit has been correctly applied, it would have resulted in a cap breach of about 400k pounds. Still not ideal but I suspect that will be Red Bull's defense.



  • Registered Users, Registered Users 2 Posts: 14,047 ✭✭✭✭flazio


    Watch Adrian Newey take a sabbatical to Alpha Tauri next year.

    This too shall pass.



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  • Registered Users, Registered Users 2 Posts: 1,412 ✭✭✭KillerShamrock


    Ah here it wasnt 400K and this is a load of red bullocks they over spent massively and it was adjusted down to 1.8 mill


    "A statement by the FIA detailing Red Bull's errors said the team had "inaccurately excluded and/or adjusted costs amounting to a total of £5,607,000" in 2021.


    The team's overspend breach of relevant costs adjusted by the FIA was £1,864,000.

    This amounts to an understatement of accounts of nearly 5% and an adjusted overspend of 1.6%."


    "Rival teams will have questions as to whether the punishment is appropriate, particularly over whether the fine will have any effect on a vastly wealthy global corporation, and also as to why the amounts published are different from those that were doing the rounds of the F1 paddock at last weekend's US Grand Prix.

    They will also likely point out that the areas of the overspend are irrelevant because they, too, could have chosen to spend more in such areas, but that would have meant spending less on engineering and car design."


    This stinks of red bull knowing exactly what they were doing and getting away with it too by the looks of the penalty as the 10% reduction doesnt apply all year and the fine doesnt come out of their budget.

    For a team that on multiple occasions Horner has said were the last to jump on the development of the new car they sure came out swinging must of been all the good food the overspent on in the catering department...



  • Registered Users, Registered Users 2, Paid Member Posts: 15,110 ✭✭✭✭JRant


    Yikes, looks like RB went with the "go big or go home mantra".

    The fine should have come out of there budget cap for next season and I don't think they'll miss the 10% wind tunnel reduction at all considering they are so far ahead right now.

    This is not a good look for the FIA as they come across as being very passive on the budget cap. I sincerely hope it doesn't lead to other teams just ignoring it or using creative accounting like RB to break the rules.

    "Well, yeah, you know, that's just, like, your opinion, man"



  • Registered Users, Registered Users 2 Posts: 4,426 ✭✭✭Hijpo


    First iteration of the rules and regs. Bound to be holes in it.



  • Registered Users, Registered Users 2 Posts: 11,790 ✭✭✭✭Burkie1203


    Overspent was 1.8m, which would have been 400k if a tax issue was applied correctly. That's what I'm seeing in the reports.



  • Registered Users, Registered Users 2 Posts: 1,343 ✭✭✭thefa


    Might be a bit of confusion on the numbers.

    They submitted accounts of £114.3m about £3.7m under the £118m cap.

    Adjustments required of £5.6m leaving them at £119.9m, £1.9m over the cap.

    Acknowledging that if the above was accounted for correctly and appropriate accounting for tax credits had been done, they would have been £0.4m over budget, ie £118.4m v £118.0m.

    There’s a list on the FIA statement of adjustments made but doesn’t put values against each. Catering is the first one named but it names numerous others including multiple relating to people costs (bonus & employer’s social security) and more.



  • Registered Users, Registered Users 2, Paid Member Posts: 15,110 ✭✭✭✭JRant


    They had a dummy run in 2020 so no excuses for that kind of overspend.

    "Well, yeah, you know, that's just, like, your opinion, man"



  • Registered Users, Registered Users 2 Posts: 11,790 ✭✭✭✭Burkie1203


    Well why were the FIA clarifying things in June 2022 so?



  • Site Banned Posts: 12,341 ✭✭✭✭Faugheen


    What’s the point of a cost cap if the punishment is so low?

    Red Bull had a driver winning the Championship while overspending on their budgets, which also would have included R&D for their car this year.

    After all the gaslighting of catering budgets and all of that bollocks, they should have been stripped of their constructors championship points. They should have been stripped because of the breach and then for blatantly lying about it.

    However the FIA go too soft on their own rules again. I’d be fuming if I were Ferrari and Mercedes.



  • Registered Users, Registered Users 2 Posts: 4,426 ✭✭✭Hijpo




  • Registered Users, Registered Users 2 Posts: 14,669 ✭✭✭✭Frank Bullitt


    I'd say the rest of this weekend will be full of digs thrown at each other now.

    "Red Bull Racing was found to be in breach, however, the Cost Cap Administration recognised that Red Bull Racing has acted cooperatively throughout the review process and has sought to provide additional information and evidence when requested in a timely manner, that this is the first year of the full application of the Financial Regulations and that there is no accusation or evidence that RBR has sought at any time to act in bad faith, dishonestly or in fraudulent manner, nor has it wilfully concealed any information from the Cost Cap Administration."

    Fia also acknowledged that RB didn't try to mislead the FIA.



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  • Registered Users, Registered Users 2, Paid Member Posts: 15,110 ✭✭✭✭JRant


    Because they are always giving clarifications.

    "Well, yeah, you know, that's just, like, your opinion, man"



  • Registered Users, Registered Users 2, Paid Member Posts: 15,110 ✭✭✭✭JRant


    I think a lot of the discussion will be around just how lenient the punishment is. Leaving aside the talk of stripping titles, because that was never an option, they have come away from this with nothing more than a stern talking too and a reduction in wind tunnel/CFD time that will have no effect.

    What this message send out is that teams can overspend up to the 5% mark with no real punishment.

    "Well, yeah, you know, that's just, like, your opinion, man"



  • Registered Users, Registered Users 2 Posts: 4,426 ✭✭✭Hijpo


    Which is the big thing when it comes to points deductions



  • Registered Users, Registered Users 2 Posts: 14,669 ✭✭✭✭Frank Bullitt


    The FIA will also have to change their process in order to stop other teams overspending like this. It is the first year of the cap, so it was bound to have problems. The main take away is that this wasn't cheating at all.



  • Registered Users, Registered Users 2 Posts: 14,669 ✭✭✭✭Frank Bullitt


    Exactly.

    If RB had tried to mislead the FIA, then throw the book at them. But they did not attempt to do that.



  • Registered Users, Registered Users 2, Paid Member Posts: 15,110 ✭✭✭✭JRant


    Cheating such a subjective term and almost always impossible to prove. You can never know the intent behind an action, unless you're a mind reader or they are dumb enough to fully document it.

    The biggest issue the FIA have now is precedent. Any future breaches less than 5% that recieve harsher penalties is just going to end up in the courts unless they can prove the team was being dishonest/cheating on purpose.

    "Well, yeah, you know, that's just, like, your opinion, man"



  • Site Banned Posts: 12,341 ✭✭✭✭Faugheen


    Call it tripe all you want, but nothing will convince me that RB didn’t know what they were doing.

    A well-oiled machine like that makes a balls of the cost caps when nearly every other team (most with far less resources) didn’t?

    Anyone buying it is having a laugh. The problem for the FIA is that they can’t prove it.



  • Registered Users, Registered Users 2 Posts: 21,635 ✭✭✭✭El_Duderino 09


    Ah shur, like anything in F1, it's a compromise. It's not simply a sport where the rules are applied whatever the consequences. It's a business and entertainment 'circus' also.

    The bigger teams will always have more influence over making rules and how rules are applied. Red bull is a big team with a long history as sponsor and team owner. F1 was never going to genuinely harm them with the punishment. So they allowed RB to negotiate their own punishment to avoid upsetting one of their main stakeholders. God help them if they ever have to punish Ferrari. They'll probably do ot in secret as they did with the dodgy engine a few years ago.

    If the FIA manage to stop costs spiraling and the smaller teams can catch up to an extent, then they'll be happy. There's little they can do about their main teams breaking the rules. All they have to do is threaten to walk away and the FIA is bunched. This whole thing is pretty shady and I doubt we'll ever know the actually details. No point pretending we do.



  • Registered Users, Registered Users 2 Posts: 11,790 ✭✭✭✭Burkie1203


    Whats the point of a cost cap if it doesn't include billions spent on engine development etc, or driver salaries etc


    It's pointless unless teams aren't able to spend large sums of money elsewhere to gain performance on the track.



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  • Registered Users, Registered Users 2 Posts: 14,669 ✭✭✭✭Frank Bullitt


    Cheating in this context is pretty clear though. RB were upfront with the FIA and had discussions with them about the whole thing, there was no misleading by RB to try and hide costs etc, add in the amount they were over by and if this is "cheating", it is not done very well at all.

    The intent here is the misinterpretation of costs and tax credits etc. It is a mistake, there is no malice behind it at all, even the FIA said this.



This discussion has been closed.
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