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Dear Andy,
Good a.m. and may this find you well. These symptoms suggest loose and/or corroded ground wires. Applying the brakes applies G-forces (deceleration), which could cause a ground wire momentarily to lose contact with the grounding block and so interrupt the power flow.
It is also possible that the relays controlling the window switches and headlights are not firmly seated into their holders, or are failing. If your case was originally sold in the US, the 1996 date suggests it is a 960.
You'll need to get the wiring diagram for your car - available from Volvo - and trace the wires to each item (e.g., window switches, head-light switches, etc.) to find the point at which the circuit is grounded. Go to that point, and inspect the connections.
For example on the 1994 940 (non-turbo) - which may be very different from a 960 - there are grounding points for the passenger-side headlights, on the fender surface just forward of the outer front corner of the battery and on the fender suface next to the driver's-side headlight unit.
The headlight relay is in the first row (closest to the passenger cabin) of relays, the second realy from the left, as you face the relay block. On the 940, the relay block is behind the fuse block, which is behind the ashtray. See the FAQs for the location and access method.
Hope this helps.
Yours faithfully,
spook
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