Toto Wolff on Hamilton contract talks and why they're proving DIFFICULT

Toto Wolff has admitted Mercedes' contract talks with Lewis Hamilton are proving "super awkward", likening the discussions to haggling with a close friend.

The seven-time world champion's deal with the heavyweight constructor is currently set to run down at the end of the year and he is yet to sign an extension. Unsurprisingly, this has sparked speculation that he may move on or retire.

However, Hamilton is still widely expected to pledge his future to his current team despite the lack of a breakthrough, with negotiations continuing in the background.

When the superstar does belatedly put pen to paper, it will be on a lavish deal worth millions - although Wolff has conceded the number crunching is difficult.

"It's super awkward," the team principal told ESPN. "Every three years we know that we have this moment. And it's like negotiating financial terms with your best friend, with a close friend.

"How do you tackle that? Normally you don't have such a situation.

"I want the best for him, but in that role I need the best for the team. That can be the only time in our 10 or 11 years when we are together and our objectives diverge.

"At the end of the day, talking about money with your friend is difficult. Penny [Thow, Hamilton's manager] helps. Penny has been keeping us in check and we have found a good modus operandi with her about how we talk.

"We avoid talking to each other about money but we both talk to Penny."

Hamilton has struck an equally calm tone, insisting there is no cause for alarm and emphasising the importance of removing emotion from the equation.

'No panic' in Hamilton contract talks

He said: "There is no panic [over the contract], we will get to it, neither of us feel pressure, we are always honest.

"So, if Toto was talking to someone he would tell me and vice-versa. I've never ever in my whole time gone and spoken behind a team's back to someone else to see if I can get them to raise the bar so that he has to raise his bar - I've never played that game, and he hasn't either.

"So, we have always been straight shooters.

"But I think ultimately having such a close relationship makes it hard sometimes having hard business discussions, because emotion is involved and we have to be very careful to step out of the circle, put the relationship aside and focus on business and what's best for us both business-wise.

"But we have managed to find that balance really well over the years."

READ MORE: Hamilton admits he's PUSHING F1 to add 'dream' race to calendar

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