F1 to set budget cap of 110 Euros

Autosport reports that Formula One is aiming to establish a 110 million Euro budget cap by the 2011 season, this week's Autosport magazine reveals. A budget cap is set to be introduced in the sport from the start of 2009, and FIA consultant Tony Purnell has written to all Formula One teams with the figures the governing body would like to be set as a starting point for future discussions.

The figures proposed are 175 million Euro for 2009, 140 million by 2010, and 110 million a year later.

The cap would not cover expenditure on engines, KERS systems, marketing costs or driver and team principal salaries.