• Terry could earn £200,000-a-week if he plays regularly • 'I'd like to thank the fans and club for their continued support'

John Terry could end up as one of the highest-paid defenders in the Premier League next year if he emulates the consistency of form and fitness of the recent season after agreeing to extend his stay at Chelsea into a 17th senior campaign.

The former England captain became the first of a trio of senior players whose deals expire next month to commit his future to Stamford Bridge after signing a 12-month contract.

José Mourinho had long championed Terry's case to remain at the club, for whom he has played since he was 14, after a resurgent season at the heart of defence. Yet negotiations with Terry's representatives had stalled, with the player seeking a two-year commitment.

The 33-year-old has signed a one-year deal with a basic salary close to the £175,000-a-week he had previously earned, but with incentives in relation to appearances that could push his earnings beyond £200,000-a-week.

"I'm delighted to have signed an extension to my contract with Chelsea taking me into my 20th year with the club," he said. "I'd like to thank the fans and club for their continued support, and the manager who was instrumental for me last season."

Terry, such a peripheral figure when hampered by injury under the interim stewardship of Rafael Benítez last season, has revived under Mourinho and started 34 Premier League games last term, playing some of the most consistent football of his career. His partnership with Gary Cahill was especially effective, with the younger player benefiting visibly from the veteran's presence. "We are very pleased John, who is an undoubted Chelsea legend, will continue to lead the team next season, as he has done for so many years with unrivalled achievement," said the Chelsea chief executive, Ron Gourlay. "Both Chelsea and John have been clear throughout that we wanted his outstanding career at the club to continue, and it is important the matter has been concluded so soon after the end of the season, allowing us to look forward to and plan for 2014-15."

A similar arrangement is close to being signed with Frank Lampard, though it remains to be seen whether Mourinho's desire also to retain Ashley Cole is backed by the club's board. The manager submitted his recommendations to the board on Monday. Cole has attracted tentative interest from foreign clubs but his preference would be to remain for another season if an agreement can be reached.

Chelsea are close to securing the striker Diego Costa from Atlético Madrid for £31.8m, and may then sanction David Luiz's long-mooted departure to Barcelona for around £30m, a transfer that will grant the manager some leeway to operate in the market while complying with financial fair play regulations.