The Athletic

The race is on, and the big talking point in the Singapore Grand Prix paddock

is that two teams, believed to be Red Bull and Aston Martin, have been found to be in breach of the cost cap based on 2021.

But what does that mean?

What are the potential punishments and what are the implications for cost control in F1?

I'm Edgshaw and joining us to answer those questions and more.

Scott Mitchell Malm and Mark Hughes.

Well, Scott, it's the middle of the night here in Singapore, so we'll get straight into it.

Can you start off by laying out the fundamentals of this cost cap breach story?

Yeah, so as I suspect a large portion, if not everyone listening, will know.

Obviously, F1 introduced the budget cap for 2021. It was the first ever cost cap in

that form in Formula One. And we're basically getting to the point now where the accounts for

2021 have finally been all submitted to the FAA and they're finalising their process of reviewing those accounts and

making sure everyone was within the limit. And when they do that, they then issue a certification,

say either you were or you weren't within the limit. And there are penalties, undefined penalties

for breaching the limit with a basically two-tier penalty system. If you're less than 5% of the budget cap value under it.

It's a minor breach.

If you're 5% or more than it is a material breach, I think they call it.

And all that does is just unlock effectively a couple of more severe punishment options if you have a majority breach.

So we're at the end of that process now.. So we're at the end of that process now.

And as we're at the end of that process with the FAA, I believe, having informed the teams that

on the, I think it's the 5th of October, so next week as you listen to this, they will get

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