Ross Brawn has confirmed that a $145 million budget cap for 2021 is close to being agreed by Formula 1 teams.
Brawn confirmed to Sky Sports F1 that final discussions are taking place between Formula 1 bosses and the teams regarding a $145m budget cap for the 2021 season, a cap $30m lower than was previously agreed in regulations.
"Today's meeting was the FIA and Formula 1," said Brawn. "The details will be going out to the teams in the next few days. There has been a lot of consultation and I think we're now at the very final stages. It will all become clear shortly.
"The budget cap's initial objectives were a more competitive field and I think with the situation we have now, then the economic sustainability of Formula 1 is the priority. I think that counts as much for the big teams as it does for the small teams."
Liberty Media are mindful that a reduced season or, in the worst case scenario, a year with no racing at all, will result in a huge loss of revenue. The knock-on effect of this is that teams would in turn receive a greatly reduced figure in prize money.
In this instance, the budget cap is being used to protect the teams, rather than to restrict spending, something Brawn feels is being seen by those at the very top of the manufacturer companies.
"It has become very clear from the people who stand above some of the team principals and management of these teams that the message is clear - we've got to cut costs, and therefore, another big step in the reduction of the cost cap," continued Brawn
"We started at $175m, that was a long battle to get it there, and with the current crisis we are now going to start at $145m and the discussion really is how much further down we can drive the next few years."
GPFans is a multi-platform, multi-language brand dedicated to Formula One coverage. We bring you all the ins and outs of the sport, 24/7, everything from up-to-the-minute news and features to the latest viral stories and clips.
We believe that a new generation of exciting, outspoken drivers will make F1 more popular than ever before, and we want to give our users access to as much of their heroes as possible, on and off the track. From Lewis Hamilton to Max Verstappen, Daniel Ricciardo to Sebastian Vettel, we provide in-depth analysis of every every Grand Prix in the season, from Australia to Abu Dhabi.
With Formula One under the new ownership of Liberty Media, how the sport is being covered is evolving, and GPFans will look to be at the heart of this progression into new media, as one of the fastest-growing sites covering the king of motorsports.