2. Variation of terms of trust---(1) As from the commencement of this
 Act the Board of Trustees shall hold so much of the land described in
 the First Schedule hereto as is for the time being vested in it and all
 moneys and assets of the Board of Trustees arising out of the trusts of
 the said Crown grant upon trust for the use and towards the maintenance
 of the schools at Wanganui known as Wanganui Collegiate School and St.
 George's Preparatory School as carried on at the commencement of this
 Act so long as religious education, and instruction in the English
 language, shall be given to the children of Her Majesty's subjects of
 all races educated therein or maintained thereat.

   (2) Notwithstanding the provisions of subsection one of this section,
 the Board of Trustees shall set aside in each year out of the net income
 derived by it from such part of the land described in the First Schedule
 hereto as shall from time to time be held by the Board of Trustees the
 sum of four hundred pounds. The said sum of four hundred pounds shall be
 held by the Board of Trustees upon trust for the provision of
 scholarships or concessions at Wanganui Collegiate School or St.George's
 Preparatory School for the benefit of any scholar or scholars from the
 islands of the Pacific Ocean who shall, in the opinion of the Board of
 Trustees, be suitable and willing to receive instruction at either of
 the said schools and for whom accommodation at the said schools is
 available:

   Provided that if in any year the full sum of four hundred pounds shall
 not be expended in the scholarships or concessions heretofore referred
 to in this subsection, then the unexpended balance of the said moneys
 shall be available for the purposes referred to in subsection one of
 this section.

   (3) The trusts declared by the said Crown grant are hereby modified
 accordingly.

   (4) Subsection two of section three of the Church of England Trusts
 Act 1913 is hereby amended by omitting the words ``originally imposed by
 the said Crown grant'', and substituting the words ``set out in section
 two of the Whanganui College Board of Trustees Empowering Act 1952''.