Sebastian Vettel insists there is no need for him to panic over his championship situation, despite losing a potential podium from a late puncture at the British Grand Prix.

The German was running in third position when his left-front tyre deflated with just two laps remaining; the late pitstop saw him drop to seventh by the chequered flag.

Team-mate Kimi Raikkonen also suffered a similar tyre issue the lap before, the Finn had been running in a comfortable second behind eventful winner Lewis Hamilton.

Although Vettel has seen his lead cut to just one point, the championship leader remains calm but admits the team needs to be aware of Mercedes surge in form.

“The car is great, it has been fantastic in the race again today,” said Vettel.

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“So there is no reason to panic or to worry. But we need to be aware that they [Mercedes] are very quick and there are a couple of advantages that we need to work on. Then it could be a different picture.”

The four-time champion admitted there was no indication the tyre would delaminate, despite suffering from blistering in the latter stages of the grand prix.

“It was very sudden,” he added. “The tyres were going down but nothing out of the ordinary, so it was quite sudden when the tyre decided not to take me to the end of the race.

“It could have been a bit better for sure, but a disaster? I don’t think so.”