Mosley Warns Teams Could Relocate Outside Europe

Formula One teams could turn their backs on Europe to avoid being strangled by "unnecessary" EU legislation, the head of the sport's governing body said on Monday.

"It is not impossible that the whole industry could just decamp," International Automobile Federation (FIA) president Max Mosley told reporters.

"The teams are quite capable, together with (Formula One supremo) Bernie (Ecclestone) of making dramatic moves fairly quickly if they have to," he added.

Asked whether he really thought that World Champions Ferrari would shut down their historic Maranello factory to set up operations outside Italy, Mosley agreed that it was unlikely.

But while confident that the situation would be resolved, he said the 10 teams, all based in Europe, felt menaced by the introduction of legislation including new European arrest warrants and limitations on working hours.

"The 35-hour week is just ludicrous," said Mosley, whose Paris-based organisation has had several skirmishes with the European authorities in the past. "You can't run a Formula One team under that."

The teams, fearful of having key staff arrested in the event of a fatal accident, have already threatened a boycott of races in any country that implements the warrants without any exemption for Formula One.

The last fatality in Formula One racing was the death of Brazilian World Champion Ayrton Senna at Imola in Italy 10 years ago and legal action following that accident is still rumbling on.

Tobacco Friction

European anti-tobacco legislation due to come into force next year is another source of friction with half of the teams heavily sponsored by cigarette companies.

BAR team boss David Richards warned on Sunday that his team might have to leave Britain due to local legislation that could expose BAR to prosecution if they raced anywhere in the world with tobacco branding.

"There is a fear that the EU is strangled by unnecessary legislation," said Mosley. "If you are using cutting-edge technology, as Formula One does, then you need to be in an appropriate environment...and you have to ask if you are in the right place.

"There is a probability that reason will prevail but it could also be that some country outside of the EU might make a collective offer to the teams of land and facilities that is so attractive that they might move lock, stock and barrel."

Most of the Formula One teams are based in England and British motorsport is a multi-billion pound industry that employs some 40,000 people. Mosley said that while nobody would want the industry to leave its heartland, mobility and communications were changing beyond recognition.

Formula One is also seeking out new markets, with European races facing the axe to make way for new ones in developing nations in Asia and the Middle East.

"Where it would have been unthinkable 10 years ago, I think it is quite conceivable now that it (a relocation) could happen," he said. "There is no reason why it shouldn't whereas 10 years ago it would have been difficult and 20 years ago impossible."