Currently reading: Volkswagen Polo faces axe as Euro 7 rules drive price up

VW boss Thomas Schäfer says newly confirmed emission rules could add €5000 to the cost of a small car

Volkswagen is prepared to pull its small cars off sale rather than engineer them to meet costly new Euro 7 emission regulations, which could add as much as €5000 to the cost of a car.

CEO Thomas Schäfer said engineers at the company were currently assessing the regulations, and a decision was expected within the next couple of weeks as to whether or not they would proceed.