F1: Lewis Hamilton Reportedly Agrees To 40 Million Euro Contract With Mercedes

7-time world champion, Lewis Hamilton has reportedly agreed to a 40 million Euro a year contract with Mercedes, which may bring an end to the prolonged contract renewal saga of the most successful driver in the sport. As per F1-Insider, the deal is just for one year, but with an option of a one-year extension.

Lewis Hamilton is the highest-paid driver in F1
Photo Credit: AFP

This means Hamilton's base salary will not be reduced from what it is right now. His salary, however, will also not increase, even if he opts for an extension. Hamilton reportedly had wanted a hike and a share of Mercedes' commercial revenue from F1. Considering the pandemic and job cuts at parent Daimler, this was not on the table.

Hamilton has still squeezed something his way with him securing two advertisement slots on his helmet and overalls. Hamilton has also secured a veto regards who his partner in the team will be in the case of an extension, especially with regards to Max Verstappen who is widely considered the next best driver on the grid.

Mercedes is slated to announce this deal next week before it unveils its 2021 car.