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TITLE IIU.K.GENERAL PROVISIONS

CHAPTER 2U.K.MODULATION AND FINANCIAL DISCIPLINE

Article 12U.K.Additional amount of aid

1.An additional amount of aid shall be granted to farmers receiving direct payments under this Regulation.

The additional amount of aid shall be equal to the amount resulting from the application of the percentages of reduction for that calendar year under Article 10 to the first EUR 5 000 or less of direct payments.

2.The total additional amounts of aid which may be granted in a Member State in a calendar year shall not be higher than the ceilings set out in Annex II. Where necessary, Member States shall proceed to a linear percentage adjustment of additional amounts of aid in order to respect the ceilings set out in Annex II.

3.The additional amount of aid shall not be subject to the reductions referred to in Article 10.

4.Starting with the budget 2007, the Commission, in accordance with the procedure referred to in Article 144(2), shall review the ceilings set out in Annex II in order to take into account structural changes of the holdings.

[F15. For the new Member States, the ceilings referred to in paragraph 2 shall be fixed by the Commission in accordance with the procedure referred to in Article 144(2).]