Brussels supports the research to the Formula 1 practices anticompetitivas

bruselas-formula-1-practicas-anticompeti

The crusade Force India and Sauber began back in 2015 with the goal of correcting the terrible inequalities in the distribution of economic continues to thrive at a good rate in the control bodies in europe. After the European Union made its request in September of last year, more information to all the parties involved, the European Parliament prepared a report in January to the European Commission. This report was voted on last Thursday, and was approved with 467 votes in favour (65,87% of the total), compared to 156 votes against (22%) and 86 abstentions (12,13%).

the report had an amendment on the part of Anneliese Dodds, member british Parliament by the Labour Party, calling for “an immediate investigation of the concerns about the competition that emerge from the industry of Formula 1, and that was passed along with the report. This does not imply that the Competition Commission of the European Union is obliged to investigate, but it is one more step to get it.

The consequences of an investigation could be relevant if it is considered that the Formula 1 is guilty of having abused his position as the European Union could impose a fine of 100 million euros, 10% of the turnover of the category, in addition to imposing changes in the structures of the category, the main complaint of the two teams claimants. Dodds, the member of parliament who has taken part in this murky matter, ensures that the category must be able to guarantee the survival of the smaller teams with a distribution more just, which does not reward bigger by the simple fact of being:

“I have written several letters to the European Commission asking for a full investigation and immediate anti-competitive practices in Formula 1, and I’m grateful that the rest of the European Parliament have added their voice to this request. The small teams are punished unfairly for an allocation of monetary awards is not competitive, which always gives more money to the biggest teams, even if they finish last in every race. We need to ensure that you do not lose even more skilled jobs in this sector, and not to allow a sport beloved by 500 million fans is becoming less and less competitive“.

In turn, Dodds points out that “the problems with the Formula 1 extend beyond”, and in particular two issues of questionable legality: the tax agreement that Formula 1 has with the british government, and the sale of the category a Liberty Media: “There are serious concerns about an agreement with HM Revenue & Customs has allowed the sport to pay an effective tax rate of 2%. There is also a significant conflict of interest in the recent sale of the sport to Liberty Media, after the regulator would receive a profit of 79.5 million dollars by authorizing the purchase“.