(Motorsport) The FIA have confirmed that Red Bull Racing have exceeded last season's $145m cost cap by less than 5% although the exact figure has not yet been revealed. The team are the only ones on the grid to have exceeded the limit while Aston Martin have been found to have made a ‘procedural’ error. The Formula 1 governing body has said that the “Cost Cap Administration is currently determining the appropriate course of action to be taken under the financial regulations” and the expectation is that the punishment will not be a severe one. 

Red Bull Racing have expressed their “surprise and disappointment” at the new finding and said “Our 2021 submission was below the cost cap limit. So we need to carefully review the FIA's findings as our belief remains that the relevant costs are under the 2021 cost cap amount. Despite the conjecture and positioning of others, there is of course a process under the regulations with the FIA which we will respectfully follow while we consider all the options available to us." 

Due to the nature of the breach, Red Bull are expected to either incur a financial penalty and/or minor sporting penalties which include deduction of drivers' and constructors' championship points. If the FIA do deduct points from last year’s Drivers Standings, it could have an impact on the World Championship that Max Verstappen won in controversial fashion at the Abu Dhabi Grand Prix. Realistically, a penalty that involves a reprimand which would limit the conduct of aerodynamic testing or other testing, and/or a reduction in that team's future cost cap limit is more likely. 

The result was published on Monday, 10th October after a five day delay. Fortunately for Red Bull, the team have not been found guilty of a major cost breach, which would have likely cost Verstappen his first World Championship. Aston Martin’s ‘procedural’ breach, which involves the failure to fill in forms correctly, an issue that Williams’ were also found guilty of earlier this year and were fined $25,000. 

One of the concerns from the lack of severity of a ‘minor’ budget cap breach is that teams would be happy to exceed the allocated budget and gain a competitive advantage for the nature of repercussions. While exceeding 5% might not seem like a large amount on paper, it can make a big difference in the overall Drivers and Constructors Standings and the FIA should come down harder for breach in regulations. Moreover, exceeding the cost cap for the 2022 season gives teams an unfair competitive advantage heading into the 2023 season, which overall results in a lack of level playing field amongst teams. It’s clear that how the FIA decides to punish Red Bull for the breach will influence how other teams on the grid view exceeding the budget cap in the future.

Also read: Formula 1: Max Verstappen crowned World Champion after Japanese GP win