VW reaches US deal in emissions scandal

Volkswagen will pay "substantial compensation" and buy back cars in US as part of a deal to settle the diesel emissions scandal.

The details were announced in a California court after a federal judge gave VW and regulators a deadline to agree a fix for the cars.

Last year, US regulators discovered that VW cars were fitted with software that could distort emissions tests.

The German giant subsequently said 11 million cars worldwide were affected.
US district court Judge Charles Breyer said the settlement was expected to include a buyback offer for nearly 500,000 2.0-litre vehicles.

He did not give details of how much car owners would be paid, but said the deal between Volkswagen, the US government and private lawyers would include "substantial compensation'.'

Judge Breyer said VW would also pay into an environmental fund and commit other money to promote green car technology.

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