Why does the UK only limitation apply to para 3(f) and not to 2(c).
I think you mean 2(f), the right to fly under IFR in class D or E. And the answer is because the UK does not have the right to extend the Annex 1 privileges of a licence over the territory of another state. But it does have the right to lift limitations (such as those in 2(c)) that it imposed to restrict those privileges in the first place.
I've never come across a case where the limitations of 2(c) of a PPL without IMC-rating were applied extra-territorially anyway. Art 247(2) means that they could be, but I can't imagine a foreign state prosecuting a PPL e.g. for flying SVFR in 5 km vis when it's own licence-holders can do so.
I can't help but think that debates like this are going to become an endangered species when EASA FCL comes in.
