OpenLegislation

Article 1

United Kingdom

Original text. Later amendments are not shown.

Regulation (EEC) No 411/88 is hereby amended as follows:

  1. 1..

    Article 4 is replaced by the following:

    ‘Article 4
    1.

    If the rate of interest costs borne by a Member State is lower for at least six months than the uniform interest rate fixed for the Community, a specific interest rate shall be fixed for that Member State.

    2.

    The average rate of interest costs borne by a Member State shall be communicated to the Commission not later than 20 days before the end of the year. It shall cover the six-month period preceding communication. However, in the case of the Czech Republic, Estonia, Cyprus, Latvia, Lithuania, Hungary, Malta, Poland, Slovenia and Slovakia it shall cover, for 2005, the period from 1 May to 31 August 2004.

    Where the average rate of interest costs is not communicated, the rate of interest costs to be applied shall be determined on the basis of the reference interest rates shown in the Annex. If not all of these reference interest rates are available for the whole of the reference period referred to in the first subparagraph, the rates available during that reference period shall be applied.

    3.

    For 2005 and 2006, where the average rate of interest costs borne by a Member State is more than twice the uniform interest rate determined for the Community, the interest rate reimbursed by the Community budget shall be calculated by applying the following formula:

    TR = TIU + [TIC – (2 × TIU)]

    where:

    TR

  2. interest rate reimbursed to the Member States,

    3. TIU

  3. uniform interest rate,

    4. TIC

  4. interest rate communicated by the Member State in accordance with the first subparagraph of paragraph 2, or the interest rate applicable in the absence of communication in accordance with the second subparagraph of paragraph 2.’

  5. 2..

    The Annex is replaced by the text set out in the Annex to this Regulation.