The FIA, Formula 1's governing body, has handed Red Bull Racing a $7 million fine and an aerodynamic testing reduction after striking an agreement over its breach of Formula 1's $145m budget cap in 2021.

The FIA revealed after the Japanese Grand Prix that both Red Bull and Aston Martin were in breach of F1’s financial regulations for 2021, putting them at risk of sanctions.

Red Bull fiercely denied it had broken the budget cap, but entered talks with the FIA over an Accepted Breach Agreement to reach a settlement.

Today we find out:

·      what are the financial and sporting penalties dished out

·      how it will impact Red Bull on track

·      what this means for team who breach the cost cap in the future

Let's get up to speed with Autosport.com Editor Haydn Cobb