ABS is there to help control your Freelanders direction when breaking. Ths is it’s primary motive. As a secondary effect, it can slow you down. It works by pulse breaking wheels individually, as and when needed. It senses all wheels all the time. Removing the prop won’t make a difference. You can loose a slight amount of engine breaking via the props from the rear wheels, if the vcu sheering effect has activated when it sort of “locks up”. But this won’t happen under most circumstances.
Traction control is to stop spinning wheels to help you to gain drive via wheels which have grip. Power is lost through spinning wheels. TC senses spinning wheels and uses the ABS to pulse break them to slow them down. Hence passing the power to the wheels which int spinning. TC is designed to help you to control spinning wheels to gain grip and therefore drive. Removing the prop won’t cause a problem if your happy to rely on front wheel drive only, and therefore front wheel TC only. Removing the prop will reduce the ability of the TC system to help get you going. If you remove the prop then you only have drive to the front wheels. If one spins and the other has grip then you can drive. All be it slower than normal as too much power through one tyre may cause it to spin. If both front wheels are spinning then you won’t be able to drive. You can’t rely on the sheering effect in the vcu as it effectively “locks up” and passes power to the rear wheels as a 4x4, as the rear wheels have no connection to the engine/gearbox/ird power source. Hence with front wheel drive only TC can only use the front wheels you help you get going if your on a slippery surface.
You have to tell your insurance if your removing the prop.