There may be a cost-cutting deal on the horizon

Once a new Concorde Agreement is signed, FIA president Jean Todt knows what he wants to do next: Get a cost-cutting deal in place.

Todt has laid out his thinking, exclusively, to the good folks at Autosport:

“I am in favour of reducing the costs, improving the show, and implementing new technologies.

“So now we are seeing that we are on the way to having these working groups, advisory strategy group and the F1 Commission, and for me it has to be dealt with inside of those groups.

“As soon as we are able to do it, we will have a democratic way. No dictatorship. No pressure to do something.

“We will sit altogether and then we will do what the majority will decide on, which I feel is the most transparent way to run our business.”

Take that, Max Mosley.

Todt says he would like restrictions not only on chassis development but also on engines.

“It will be unfair to have a cost restriction on chassis and do nothing on the engine,” he said.

“Our people have been working very hard with expert companies like Deloitte, KPMG, and other audit companies to see.

“First I had some doubts that we could do a good job. Now we know we can do a good job.

“But we have to include the engines. There are still some ongoing discussions.”

Todt puts the trim-back at about one-third of the current Formula 1 spending. And he seems to think that’s reasonable — and attainable.

If you figure teams may be in the $200 million to $250 million range, that’s a trim of maybe $75 million or so. Might be more than a few jobs, fewer wind tunnel days, and what else? Trims to the catering line item?

Todt also sounds intent on getting all the F1 teams to agree to the deal. Does that sound possible?

In the end, I have to admit, I always wonder if a cap is somehow fundamentally counter to F1’s genes. It’s all about pushing to the maximum … but we rightly have more safety equipment than in the past. Perhaps a “monetary safety net” is along the same lines?

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