Amount of payment7

1

Subject to paragraphs (2) and (3) and regulation 8, payment of hill farm allowance in respect of the descriptions of land specified in column 1 of Schedule 2 shall be made—

a

in relation to the first 350 hectares of eligible forage area in respect of which the claim is made, at the rates specified in column 2 of Schedule 2;

b

in relation to the next 350 hectares of eligible forage area in respect of which the claim is made, at one half of the rates specified in column 2 of Schedule 2.

2

The amount of the payment shall be increased by 10 per cent if the claimant satisfies any one of the following criteria, and by 20 per cent if he satisfies any two or more such criteria—

a

the claimant declared, in his single payment scheme application, both breeding cows and ewes for hill farm allowance for 2006, and at least 15 per cent of the total number, expressed in livestock units, of his relevant animals are breeding cows;

b

at least one hectare, or 5% (whichever is the smaller), of the claimant’s less favoured area land is planted with arable crops in respect of which the claimant is not receiving any other financial support, and was not converted from permanent pasture after 1998;

c

at least one hectare, or 5% (whichever is the smaller), of the claimant’s less favoured area land is planted with woodland in respect of which the claimant is not receiving any other financial support, and was not converted from permanent pasture after 1998.

3

If the claimant submitted or amended his single payment scheme application after 16th May 2005, the amount of the payment shall be reduced in accordance with Article 21 of Commission Regulation 796/2004 as if that Article applied in relation to hill farm allowance.

4

In sub-paragraphs (b) and (c) of paragraph (2), “other financial support” does not include financial support from the single payment scheme.