GA C5.13.5 5.13.5.

What happens if the requirement to file the translation or declaration is not observed? 
5.13.015
If the applicant does not provide the translation of the priority document in time, the right of priority is lost and the applicant is informed accordingly. This has the effect that the intermediate document(s) which resulted in the validity of the priority claimed becoming relevant for the assessment of patentability will belong to the prior art under Article 54(2) or Article 54(3) EPC, as applicable.
5.13.016
If the priority right is lost, further processing can be requested and will be granted if within two months from notification of the loss of rights the required translation or declaration is filed and the fee for further processing paid. 

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EPC Articles

EPC Implementing Rules

EPC Rules relating to Fees

EPO Guidelines - A Formalities Examination

EPO Guidelines - F The European Patent Application

EPO Guide for Applicants, part II Int.

EPO Guide for Applicants, part II Int. - C The EPO as ISA and SISA