2.—(1) The provisions of the arrangements contained in the exchange of letters set out in the Schedule to these Regulations shall have effect so far as they relate to Great Britain, and the effect of the Principal Arrangements shall be varied in accordance with those provisions.
(2) The Social Security Contributions and Benefits Act 1992(1), the Social Security Administration Act 1992 and Chapter II of Part I of the Social Security Act 1998(2), and regulations made or having effect as if made under any of those Acts so far as such regulations relate to Great Britain, shall have effect subject to such modifications as may be required for the purpose of giving effect to the provisions of the Principal Arrangements as amended by the provisions of the arrangements set out in the Schedule to these Regulations.