By Jonathan Davies

Lewis Hamilton is set to become Britain's highest-paid sportsperson with a new Mercedes contract that could be worth £27 million a year.

The Formula 1 world champion said he has been handling negotiations with the German team himself and the final details are being worked out by lawyers.

The 30-year old said: "It should be done this week. There is no reason it shouldn't.

"Honestly, it's 99.6% done. There's no negotiating left, it's just legal stuff."

Hamilton's basic salary of £21m will stay the same - the £27m figure will only be achieved through bonuses, depending on how many Grand Prix wins he achieves, and if he wins the world title again at the end of the season.

The Mercedes driver leads the Driver's Championship by three points after the first two races of the Formula 1 season, winning the opening Grand Prix in Australia and finishing second on the podium in Malaysia.