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I hope you will not be returning to the thieving sharks at Audi who wanted to sell you a new engine.

I realise that. I was agreeing with Steve Q's suggestion that the heater matrix might be blocked, and commenting on the likely cost of renewing it. The water pump and cam belt would never have cured lack of heat in the cabin, though they may well have been necessary for other reasons. Count yourself lucky the job was so cheap at only £500; it would have been half as much again at most places.

When I got my Q5, I was painfully aware of just how scratched and dented the centre trim was. Decided it was finally time to rip out the whole centre console so I could remove the offending trim. Replacing with a standard trim would just end up the same way, the carbon replacements are either too expensive or poor fitting so instead I used some alloy wheel repair filler to fill in all the dents and scratches. After a few hours to cure I got on with the boring job of sanding it down. Got some carbon fibre wrap and set to work. Took me forever to get to this stage but as it was my first attempt at wrapping I expected as much. Carefully put everything back together and here is the end result. Think it's turned out rather nicely 😎

So basically fit a new oil cooler? Audi we’re going to charge you £20k+ for a new engine! Might be worth fitting upgraded oil cooler and investigation additional heat shields around the turbo.

It appears that this is a drain hole through the block from the top near the turbo / oil cooler that drains down to the bottom of the block but doesn't actually enter the engine - assume it's to stop a build up of water / moisture on the top of the block. The extreme heat from the turbo dries out the seals on the oil cooler, causing the leak. The oil then flows through this drain channel and out at the bottom. It therefore appears to be leaking from this hole, when in fact it's leaking from the oil cooler at the top of the engine.

Massive thanks to Richard aka Spartacus 68 for recommending Tomas at VAG Technic who is very familiar with this problem and can fix it 🙂