Motor Racing: Mosley Vows to Press Ahead With Plans to Slash Budgets

Max Mosley, the FIA president, warned yesterday that the governing body will force through its planned reduction in formula one budgets in a package of new regulations for the 2008 season. The target is to reduce the budget of a top team from the present average of $360m (£197.5m) by two thirds to $120m (£65.83m) which, he said, "is still a vast amount compared to any other form of motor racing."

"Everybody must realise that formula one is not a money-spending contest," Mosley continued. "Some teams are spending as much as £6m per car per race start which is quite absurd and over the top." There was also a veiled threat that one or two of the top manufacturer-aligned teams risk being left off the entry list due to an expected influx of new teams attracted by new lower costs.

The governing body will open the entry list for the 2008 world championship on March 1, 2006 giving teams time to build and prepare cars and infrastructure. But even with the proposed 2008 increase from 10 to 12 teams there will be pressure for established teams to enlist early to avoid being left on the sidelines.

Possible new competitors include the ART organisation, the former BAR-Honda team principal David Richards' Prodrive operation and a group of investors headed by retired formula one driver Eddie Irvine and the Russian banker Roustam Tariko.

Mosley's stance is a warning to BAR-Honda, BMW and McLaren-Mercedes that they should abandon thoughts of a breakaway contest. "If some manufacturers wish to run a private series with unlimited expenditure, the FIA would give them every assistance. It would be an interesting experiment, but too risky for the formula one world championship."

Mosley is annoyed by the current teams' lack of concrete proposals for cutting costs in 2008 and is confident that the FIA will soon be able to publish their own rules which will combine close racing with interesting and relevant technology.