Amendment to article 48 (shortfall in the buy-out and late payment funds: the total mutualisation sum)3.
(1)
Article 48 is amended in accordance with paragraphs (2) and (3).
(2)
For paragraph (3) substitute—
“(3)
A shortfall in relation to a relevant period is a relevant shortfall if it is equal to, or in excess of, the mutualisation threshold for that period.”.
(3)
After paragraph (3) insert—
“(3A)
The mutualisation threshold for a relevant period is determined as 0.1% of A x B, rounded to the nearest £100,000 with £50,000 being rounded upwards, where—
(a)
A is the total obligation for the relevant period determined under article 11,
(b)
B is the buy-out price for the relevant period referred to in article 43(4).”.