Good evening,
Just an update to where things are for me at the minute.

I have had an offer from Allianz, who are the company behind VW Insurance, which would leave me £950 shy of a new Mk7 GTI spec'd with 5 doors and white paint. Which means I will have lost out on the leather and obviously will be out of pocket. Its taken a lot of fighting to get up to that figure and Booth 11 sent me a passage from the ombudsman's website which I quoted and I think helped to increase the figure.
However I am totally unhappy with the service I've received and today sent a letter to Allianz and VW letting them know that I expect them to meet the full cost of replacement. I listed every call or contact that I've had with them over the last 6 weeks and shown how poor the customer service has been. I told them that they have fallen well below my expectations as I thought I would receive a professional, high quality and efficient service.
Whether they take any notice of what I've said only time will tell!