Lewis Hamilton’s Ferrari deal will reportedly be worth in the region of £78.8 million ($100m) per year, representing a mammoth pay increase relative to his current £43.3m ($55m) contract with Mercedes.
The seven-time world champion shocked the motorsport world on February 1st when numerous reports surfaced linking him with a shock switch from Mercedes to Ferrari.
Despite putting pen to paper on a two-year contract extension last summer, these reports were proven correct when Mercedes and Ferrari both announced that Hamilton would be joining the Prancing Horse for the 2025 season and beyond.
With the two teams separated by just three points in the final 2023 Constructors’ Championship standings, alternative factors to performance may have played a role in Hamilton’s decision to make the change. One of these factors could be financial incentives of a switch to the Scuderia.
According to a report from the Italian site Formu1a.uno, Hamilton’s new contract with Ferrari will be worth in the region of £78.8m ($100m) to the 39-year-old, representing an enormous late-career pay rise.
This figure reportedly takes into account Hamilton’s base salary, as well as image rights, sponsorship agreements and bonus clauses in the contract, and would make the legendary Brit the sport’s highest-paid driver.
The mouth-watering finances behind the deal aren’t the only benefits for Hamilton. President John Elkann has assured the seven-time world champion that his activism and charitable causes will be supported by Ferrari during his time with the team.
The structure of Hamilton’s Ferrari contract is reported to be a two-year deal, keeping him at the team throughout 2025 and 2026, although there is an option for an extra year, should both parties feel satisfied with the arrangement.
With Hamilton signed up to the project, team principal Fred Vasseur already has his long-term vision in place with both Hamilton and Charles Leclerc signing onto longer contracts, and teenage starlet Oliver Bearman progressing nicely in the wings.
For Mercedes, there is far less certainty. While their wage bill is set to come down considerably, Toto Wolff finds himself without a succession plan in place and no obvious driver to replace the outgoing Hamilton.
