Why Hamilton's new Mercedes contract poses more questions than answers

Mercedes

Why Hamilton's new Mercedes contract poses more questions than answers

Hamilton's extension has finally been announced by Mercedes

Ewan Gale

Tuesday 9 February 2021 05:00 Updated: 23:05

It has finally happened! Lewis Hamilton has officially signed a contract extension with Mercedes after an inordinate amount of time.

The one-year deal means that driver and team will both aim for world championship number eight this season, with Hamilton's sights now set on becoming the most successful driver outright in the sport's history.

But while the F1 world can breathe a sigh of relief after being left on tenterhooks waiting for the announcement of the British driver's continuation with the Silver Arrows, the deal seems to have posed more questions than answers.

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In particular, as Mercedes will have three drivers whose contracts run out at the end of the season, including that of George Russell at Williams. So where does this news leave Mercedes, Hamilton, Russell and Valtteri Bottas?

Three into two doesn't go...

Since Russell's inception at Williams, the assumption has been he would create an all-British partnership at Mercedes with Hamilton.

But with the one-year duration for the seven-time champion, does this leave space for retirement after an eighth title? One would assume so as Hamilton is seemingly not without other opportunities once his time in F1 is up.

At present his extracurricular activities include his fashion link-up with Tommy Hilfiger, his musical exploits, his involvement with the Extreme E team, his work with the new Hamilton Commission, amongst other projects, with Mercedes fully supportive of its driver's push for diversity.

Maybe this is a masterstroke in management from Toto Wolff. At the end of the day, the sport is performance-driven and with a view to the future, a decision can be made at the end of the season as to who carries the team into F1's new era next year.

If Hamilton struggles - hard to imagine, I know - the team must decide whether it is worth carrying an ageing legend ahead of a rising young star who could potentially be 'the next Hamilton'.

There is also the mooted salary cap to think about at some point down the line given Hamilton's wages alone exceed that of the mooted $30million combined limit for a team's pair of drivers.

Wolff has said that the duration of the contract was purely down to the time constraints of getting the deal done ahead of the season and seemed to suggest that both parties are keen on a continuation into 2022.

As much as Wolff declares to the outside world the contract talks were harmonious and the pair were "aligned" on various issues - which I am sure they were - he is not going to come out and say the negotiations were difficult. That would ruin a season before it even starts.

What the deal has done though, is given both parties wiggle-room throughout the year to make a decision on what they feel is the best for them, harmonious or not.

Attraction from other teams?

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Attraction from other teams?

New rules and new cars usually mean new winners. The dominators from 2008 in McLaren and Ferrari fell off the pace in 2009 as Brawn GP and Red Bull emerged, both through clever early development. Following the introduction of the current hybrid era in 2014, Mercedes usurped Red Bull.

So maybe Hamilton is waiting to see if another drive elsewhere tickles his fancy? It seems unlikely though with Ferrari a no-go as Charles Leclerc and Carlos Sainz are tied into contracts.

Red Bull could be an option if Sergio Perez fails to live up to his billing as a driver to compete alongside Max Verstappen to help finally push Mercedes this year. A driver pairing of Hamilton and Max Verstappen would be tantalising and one the competitive nature of the Briton would surely relish, but Red Bull would certainly shy away from.

Other than these top-two teams, it is hard to see how another could afford Hamilton's salary, meaning it is almost certain Mercedes would retain his services should he opt to continue.

With the prospect of hard racing provided by the new regulations, logic would dictate Hamilton would at least want the opportunity to test himself in such an era.

If Hamilton stays, what of Bottas and Russell?

Mercedes will have to think long and hard about what they do at the end of the year.

If Bottas finishes second in the championship and gives Hamilton a decent run for his money, the Finn almost becomes undroppable because, realistically, that is all he is in the team for, even if he himself has previously derided the team 'wingman'.

So what would become of Russell in this case? The obvious would be to remain at Williams but for the sake of his career progression, you feel the investment from Dorilton Capital would have to turn into points and a midfield position at least over the next two seasons.

Otherwise, where could Mercedes move its 'junior' driver on the grid? It is unlikely Aston Martin would oust Sebastian Vettel after making the German the luxury car manufacturer's marquee signing, and the same can be said for Lance Stroll at his dad's team.

Mercedes' other power unit customer McLaren seems pretty locked in with Lando Norris as a star for the future alongside new recruit Daniel Ricciardo, so there is no room there.

If Russell is stuck at the back of the grid, there is a risk of stifling one of the biggest young talents in recent years, in particular when you consider his performance in last year's Sakhir Grand Prix.

Wolff has insisted the team would first hold discussions with the two current factory drivers out of "our values of loyalty and integrity" but did not exactly confirm the duo would be his desired choice.

It is an almost endless circle of problematic decisions that Wolff and the rest of the Mercedes hierarchy will have to think long and hard about at some point before the 2021 book is closed.

But for now, just over a month before pre-season testing gets underway in Bahrain, it is mission accomplished. Hamilton remains a Mercedes driver.