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Aston Martin

Aston Martin explain why they're in favour of cost cap increase

Mike Krack, Team Principal at Aston Martin, has revealed the reasons behind his team having no issue with the potential for an increase in the cost cap.

Stroll Monaco
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To news overview © Aston Martin F1

Mike Krack has detailed the reasons why Aston Martin are in favour of allowing for a cost cap increase to go through.

Formula 1's financial regulations cap performance and car-based spending at $140 million for the 2022 season, but, with Russia's invasion of Ukraine causing an energy crisis across the globe, energy costs and general inflation have spiralled upwards.

As a result of the hugely increased costs, the regulations have come under the spotlight, with Red Bull boss Christian Horner explaining that some teams may be forced to miss races later in the year if provisions aren't made to allow for the unprecedented inflation rate.

In order for a budget cap increase to be approved across the sport, all 10 teams must be in unanimous agreement – a consensus that has not been reached as four teams have signalled no interest in allowing for an increase.

Speaking in Monaco, Krack explained the situation from his team's point of view, saying the goal of the Silverstone-based outfit is to comply with all the regulations.

Should a team fail to keep within the budget cap, a wide range of punishments can be applied by the FIA – whether it be financial, sporting, or, in the most extreme scenario, outright disqualification.

Krack gives Aston Martin's take on issue

Speaking in Monaco, Aston Martin boss Mike Krack explained the situation from his team's point of view, saying the goal of the Silverstone-based outfit is to comply with all the regulations.

Should a team fail to keep within the budget cap, a wide range of punishments can be applied by the FIA – whether it be financial, sporting, or, in the most extreme scenario, outright disqualification.

"The rules are the technical rules, the rules of sporting rules, and the financial rules," Krack told media, including RacingNews365.com.

"We try to comply with all three of them. I think now it is still time to make the right choices. If you overspend now, obviously then you'll be tight later.

"We have very good cost monitoring. I think we are also quite efficient in terms of how we spend. So, from that point of view, we are not in a position where we would say we will not make races."

Aston Martin support increase in budget cap

Asked whether Aston Martin are taking a position of supporting an increase to the budget cap, Krack confirmed his team would.

"We do. It is not in the interest of the sport to have teams having penalties because of financial issues," he said.

"The reason why we support it is mainly because the increasing costs are real - inflation is not something that has been invented.

"So, as long as the approach for inflation management in the regulations is reasonable, which it is [in] the proposals, we will support it.

"We have constant cost monitoring. So we have a very good overview, week by week, where we are in terms of what we are spending and what the costs will be.

"Before we decide on, let's say, a Monza package, a Monza wing, we know what this is costing us and we know how much money we will have if we make it.

"Obviously, we have margin in for crashes and stuff like that. If you repeat the Melbourne weekend every weekend [where both Sebastian Vettel and Lance Stroll crashed], then we will not make the Monza wing!"

			© XPB
	© XPB

Krack wary of team strategy play

While Aston Martin are in favour of a budget cap increase, Krack said it is a process that needs to be thoroughly examined before any such moves are made, with the fear being that some of the smaller teams with lesser budgets are doing it simply as a tool to hamper bigger names.

"I think it's a bit exaggerated to miss races," he explained.

"Honestly, I don't think that this will happen. I think the cost cap should not just be increased, because some people are just not having their costs under control.

"But, as I said, the situation in Russia and Ukraine drove the energy prices extremely high, air freight is very high. This you could not plan in any budget. So that's also why we support an increase based on inflation, but not an increase per see.

"I think the reason why there are not many teams opposing – I think there has been three opposing – I think it is mainly to limit others developing.

"It's a strategic choice, because they also have the higher costs. Everybody has higher costs. If the cost cap is increased, they don't have the budget that is required. This is only an assumption – it's a strategic decline."

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