Commission Delegated Regulation (EU) No 640/2014Show full title

TITLE III U.K. SPECIFIC PROVISIONS FOR RURAL DEVELOPMENT SUPPORT MEASURES

Article 35 U.K. Non-compliance with the eligibility criteria other than the size of area or number of animals, commitments or other obligations

1. The support claimed [F1 shall][F1 may] be refused or withdrawn in full where the eligibility criteria are not complied with.

2. The support claimed [F2 shall][F2 may] be refused or be withdrawn in full or in part where the following commitments or other obligations are not complied with:

(a)

commitments established in the rural development programme; or

(b)

where relevant, other obligations of the operation established by [F3 the law applying in the constituent nation] or established in the rural development programme, in particular public procurement, [F4 State aid] and other obligatory standards and requirements.

[F5 3. When deciding on the rate of refusal or withdrawal of support following the non-compliance with the commitments or other obligations referred to in paragraph 2, the [F6 relevant authority][F7 shall][F7 may] take account of the severity, [F8 extent, duration and reoccurrence][F8 extent and duration] of the non-compliance related to conditions for support referred to in paragraph 2.

The severity of the non-compliance shall depend, in particular, on the importance of the consequences of the non-compliance, taking into account the objectives of the commitments or obligations that were not met.

The extent of the non-compliance shall depend, in particular, on its effect on the operation as a whole.

The duration shall depend, in particular, on the length of time for which the effect lasts or the possibility of terminating this effect by reasonable means.

[F9 The reoccurrence shall depend on whether similar non-compliances have been found earlier during the last four years or during the whole programming period 2014-2020 in case of the same beneficiary and the same measure or type of operation or in the case of the programming period 2007-2013, the similar measure].]

[F5 3. When deciding on the rate of refusal or withdrawal of support following the non-compliance with the commitments or other obligations referred to in paragraph 2, the relevant authority may take account of:—

• the circumstances that led to the non-compliance and whether it was caused by the intentional actions of the beneficiary or due to that person’s recklessness or negligence;

• any steps taken by the beneficiary to report a change of circumstance or notify the Authority of the non-compliance within a reasonable period;

• any failure on the part of the beneficiary to co-operate with an on-the-spot check;

• any past conduct of the beneficiary during the period of the commitment and whether a similar non-compliance has previously occurred;

• the nature of the non-compliance and whether it has caused widespread or irreparable damage;

• the extent to which it is desirable, practicable or economic to permit the beneficiary to rectify the non-compliance;

• the consequences of the non-compliance and whether it renders the purpose of the commitment unachievable within the timescales or finances of the commitment or to the standards agreed when the commitment was undertaken.]

4. In case of multiannual commitments or payments, withdrawals based on the criteria referred to in paragraph 3 [F10 shall][F10 may] also apply to the amounts already paid in the previous years for the same operation.

5. In case the overall assessment based on the criteria referred to in paragraph 3 leads to establishing a serious non-compliance, the support [F11 shall][F11 may] be refused or withdrawn in full. [F12 Furthermore, the beneficiary [F11 shall][F11 may] be excluded from [F13 the same measure or type of operation][F13 any financial assistance scheme(s) under section 1 of the Agriculture Act 2020] for the calendar year of the finding and for the following calendar year.]

6. Where it is established that the beneficiary provided false evidence for the purpose of receiving the support or failed to provide the necessary information due to negligence, the support [F14 shall][F14 may] be refused or withdrawn in full. Furthermore, the beneficiary [F14 shall][F14 may] be excluded from [F15 the same measure or type of operation][F15 any financial assistance scheme(s) under section 1 of the Agriculture Act 2020] for the calendar year of finding and for the following calendar year.

[F16 [F17 7. If the withdrawals and administrative penalties referred to in paragraphs 1, 2, 4, 5 and 6 cannot be fully off-set in the course of the three calendar years following the calendar year of the finding, in accordance with Article 28 of Implementing Regulation (EU) No 908/2014, the outstanding balance shall be cancelled.]]

Textual Amendments

F1 Word in Art. 35(1) substituted (W. in so far as it relates to domestic support for rural development) (26.3.2021) by The Agricultural Support (Miscellaneous Amendments) (Wales) (EU Exit) Regulations 2021 (S.I. 2021/400), regs. 1(2), 3(8)(a); and substituted in so far as it relates to rural development support measures (E.) (28.7.2022) by The Rural Development (Amendment) (England) Regulations 2022 (S.I. 2022/765), regs. 1(1), 9(5)(a)

F2 Word in Art. 35(2) substituted (W. in so far as it relates to domestic support for rural development) (26.3.2021) by The Agricultural Support (Miscellaneous Amendments) (Wales) (EU Exit) Regulations 2021 (S.I. 2021/400), regs. 1(2), 3(8)(b)(i); and substituted in so far as it relates to rural development support measures (E.) (28.7.2022) by The Rural Development (Amendment) (England) Regulations 2022 (S.I. 2022/765), regs. 1(1), 9(5)(b)

F3 Words in Art. 35(2)(b) substituted (31.12.2020 for the purposes of common organisation of the markets and rural development measures) by The Common Agricultural Policy (Financing, Management and Monitoring Supplementary Provisions) (Miscellaneous Amendments) (EU Exit) Regulations 2019 (S.I. 2019/765), regs. 1, 6(22)(a); 2020 c. 1, Sch. 5 para. 1(1)

F4 Words in Art. 35(2) omitted (W. in so far as it relates to domestic support for rural development) (26.3.2021) by virtue of The Agricultural Support (Miscellaneous Amendments) (Wales) (EU Exit) Regulations 2021 (S.I. 2021/400), regs. 1(2), 3(8)(b)(ii)

F5 Art. 35(3) substituted in so far as it relates to rural development support measures (E.) (28.7.2022) by The Rural Development (Amendment) (England) Regulations 2022 (S.I. 2022/765), regs. 1(1), 9(5)(c)

F6 Words in Art. 35(3) substituted (31.12.2020 for the purposes of common organisation of the markets and rural development measures) by The Common Agricultural Policy (Financing, Management and Monitoring Supplementary Provisions) (Miscellaneous Amendments) (EU Exit) Regulations 2019 (S.I. 2019/765), regs. 1, 6(22)(b); 2020 c. 1, Sch. 5 para. 1(1)

F7 Word in Art. 35(3) substituted (W. in so far as it relates to domestic support for rural development) (26.3.2021) by The Agricultural Support (Miscellaneous Amendments) (Wales) (EU Exit) Regulations 2021 (S.I. 2021/400), regs. 1(2), 3(8)(c)(i)(aa)

F8 Words in Art. 35(3) substituted (W. in so far as it relates to domestic support for rural development) (26.3.2021) by The Agricultural Support (Miscellaneous Amendments) (Wales) (EU Exit) Regulations 2021 (S.I. 2021/400), regs. 1(2), 3(8)(c)(i)(bb)

F9 Words in Art. 35(3) omitted (W. in so far as it relates to domestic support for rural development) (26.3.2021) by virtue of The Agricultural Support (Miscellaneous Amendments) (Wales) (EU Exit) Regulations 2021 (S.I. 2021/400), regs. 1(2), 3(8)(c)(ii)

F10 Word in Art. 35(4) substituted in so far as it relates to rural development support measures (E.) (28.7.2022) by The Rural Development (Amendment) (England) Regulations 2022 (S.I. 2022/765), regs. 1(1), 9(5)(d)

F11 Word in Art. 35(5) substituted in so far as it relates to rural development support measures (E.) (28.7.2022) by The Rural Development (Amendment) (England) Regulations 2022 (S.I. 2022/765), regs. 1(1), 9(5)(e)

F12 Words in Art. 35(5) omitted (W. in so far as it relates to domestic support for rural development) (26.3.2021) by virtue of The Agricultural Support (Miscellaneous Amendments) (Wales) (EU Exit) Regulations 2021 (S.I. 2021/400), regs. 1(2), 3(8)(d)

F13 Words in Art. 35(5) substituted in so far as it relates to rural development support measures (E.) (15.12.2022) by The Rural Development (Amendment) (No. 2) (England) Regulations 2022 (S.I. 2022/1225), regs. 1(1), 7(1)(4)(a)

F14 Word in Art. 35(6) substituted in so far as it relates to rural development support measures (E.) (28.7.2022) by The Rural Development (Amendment) (England) Regulations 2022 (S.I. 2022/765), regs. 1(1), 9(5)(f)

F15 Words in Art. 35(6) substituted in so far as it relates to rural development support measures (E.) (15.12.2022) by The Rural Development (Amendment) (No. 2) (England) Regulations 2022 (S.I. 2022/1225), regs. 1(1), 7(1)(4)(b)

F16 Art. 35(7) omitted (W. in so far as it relates to domestic support for rural development) (26.3.2021) by virtue of The Agricultural Support (Miscellaneous Amendments) (Wales) (EU Exit) Regulations 2021 (S.I. 2021/400), regs. 1(2), 3(8)(e)

F17 Substituted by Commission Delegated Regulation (EU) 2016/1393 of 4 May 2016 amending Delegated Regulation (EU) No 640/2014 supplementing Regulation (EU) No 1306/2013 of the European Parliament and of the Council with regard to the integrated administration and control system and conditions for refusal or withdrawal of payments and administrative penalties applicable to direct payments, rural development support and cross-compliance.

Article 36 U.K. Suspending the support

The paying agency may suspend the support relating to certain expenditure where a non-compliance resulting in an administrative penalty is detected. The suspension shall be lifted by the paying agency as soon as the beneficiary proves to the satisfaction of the competent authority that the situation has been remedied. The maximum period of suspension shall not exceed three months. The [F18 relevant authority] may also set shorter maximum periods depending on the type of operations and the effects of the non-compliance in question.

The paying agency may only suspend support where the non-compliance does not prejudice the achievement of the overall purpose of the operation concerned, and if it is expected that the beneficiary is able to remedy the situation during the maximum period defined.

Textual Amendments

F18 Words in Art. 36 substituted (31.12.2020 for the purposes of common organisation of the markets and rural development measures) by The Common Agricultural Policy (Financing, Management and Monitoring Supplementary Provisions) (Miscellaneous Amendments) (EU Exit) Regulations 2019 (S.I. 2019/765), regs. 1, 6(23); 2020 c. 1, Sch. 5 para. 1(1)