This was the last email they sent me and following these exact instructions worked for me. Note I had tried variations of the same procedure several times before this and it never worked. Me thinks they reset something on their side and hey presto, the procedure I had followed 20 times previously just worked:
From the information relayed to our systems, your vehicle seems to be communicating with our servers normally.
Based on the information relayed in our systems, your Golf has been in the 'maximum privacy settings'. Please bear in mind that no actions can be performed with regards to the digital services if the vehicle is not in the "Share my position" mode privacy settings.
Please apply the following steps:
Turn the ignition on and please navigate to Users-> Settings (select the gear icon at the bottom right side of your screen)-> Privacy settings and select the first option which stands for maximum privacy.
Wait for 20 seconds and then remove the maximum privacy by navigating to the same menu and choosing the last icon to the right ("Share my position" mode).
Turn the ignition off, exit the vehicle, and lock it. Then wait for approximately 10 minutes.
Enter the vehicle again, and check the colour of the globe (this needs to be white).
If it is white, try the enrolment process again.
In the case that none of the above resolves the issue, please kindly provide us with the following, so that we can analysis this further and establish the cause of the error:
The exact timestamp of the last unsuccessful attempt.
