10.—(1) If an animal slaughtered for human consumption tests positive for a TSE under this Schedule, the Secretary of State must pay to the occupier of the slaughterhouse or other place of slaughter compensation for the carcase and all parts of the bovine or ovine body (including the blood and the hide).
(2) The compensation payable to the occupier for bovine and ovine carcases is the market value, which is the price that would reasonably be expected to have been obtained for the animal from a buyer in the open market at the time of the valuation, and on the assumption that the animal was not affected by a TSE.
(3) In the case of a bovine animal that is destroyed because of a post mortem positive result, the Secretary of State must additionally pay to the occupier market value compensation for the bovine carcase immediately preceding it on the slaughter line, and the two carcases immediately following it if they need to be destroyed.
(4) If a market value cannot be agreed the valuation must be established in accordance with the procedure laid down in regulation 12(3) to (8) (reading the word “occupier” wherever “owner” is mentioned in those paragraphs).
(5) In the case of a valuation under sub-paragraph (4) the occupier must pay any valuation fee arising.