VW Guru
Hi I see you have a 2007 cali I’m assuming with either a BNZ or BPC engine code 130ps or 174ps. These engines are Bullet proof there are a few ancillaries that fail the egr cooler cracks and leaks exhaust gas and the water pumps were prone to failure which would give you coolant in the oil as the coolant pump is inside the engine and can give the same effect as a head gasket. The early engines suffered from camshaft failure but the part was modified and if the cam shaft had failed you would know about it as the engine would have a very very loud knock. The other issue was with oil coolers failing causing engine oil to get into the coolant this left a black ring around the expansion bottle at first then the coolant turned to an oil coolant mix. I know all that sounds bad but it was all modified and only a few of the later engines had issues. I know of vehicles with these engines well over 800000 miles and still going strong. I suggest your garage is ripping you off I’ve never heard of any vehicle of that age costing that much to run especially if it’s been looked after. As for the exhaust yes they rust yes the outer skin comes away but it’s all cosmetic and does not effect the general operation of the system. Get your vehicle checked over properly by another garage. That engine and vehicle combo will last a life time if looked after.