FatFlyer - The article to which you refer is entirely irrelevant. You have selectively quoted sub-paragraph (c) and, when read in full, the article states:
(2) A person may within the United Kingdom, the Channel Islands, and the Isle of Man
without being the holder of such a licence—
....
(c) act as pilot of an aircraft in respect of which the flight crew required to be carried by or under this Order does not exceed one pilot for the purpose of becoming qualified for the grant or renewal of a pilot’s licence or the inclusion or variation of any rating in a pilot’s licence if -
Since, in the case of a club check-out, or other training that does not lead to licensing action, it is assumed that the pilot under check/instruction
does hold a valid licence and is
not flying for the purpose described, the provisions of the Article do not apply.
The equivalent provision in the ANO 2009 is Article 53, which says much the same thing.