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I have a 2005 2.5 174PS T32 Kombi. (AXE engine)

Owned for about 6 years. Typical MPG is around 29-31MPG

Went into the local "VW specialist" indi garage and had a lot of work done on it including
  • Replace leaking injector seals
  • Replace flywheel and clutch
  • Replace one of the camshafts due to excessive wear
  • Replace boost sensor
  • Replace intercooler
  • Replace driveshafts
Had it back and something is a bit off.... I am now getting around 35-36MPG but am down on torque by about 30%.

Before the work I could be cruising at 60mph in 6th gear, put my foot down and fairly quickly pick up to 80mph. To get the same acceleration now I am having to drop down to 5th or 4th.

Climbing hills on country roads is a nightmare, before I would be in 2nd/3rd. Now I am having to go to 1st and have a hell of a job getting going on a steep hill in 1st...
I used to be able to get wheelspin in 2nd if I pressed too hard on the accelerator... no chance of that now.

Not sure what it could be... having spent the best part of £4k getting the above work done I really don't want another massive bill...

Is there anything special about the 174 AXE engine? Is it possible that a camshaft or inter-cooler from a lower spec engine has accidentally been fitted? Is the cam timing possibly adjusted for a different engine spec?
 

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Sounds like your turbo isn’t spooling up properly, which could have a number of causes. Your symptoms are exactly the same as when my catalyst broke up and blocked the exhaust restricting airflow. If it was pulling ok immediately before the work, I would be amazed if the specialist hadn’t caused it somehow.
 

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Intercooler and seals are the same but the camshaft is different from the axd/axe and later dpf vehicles bnz etc
I'd be checking the torsion value for cam timing, a slight adjustment can make a difference to power and mpg

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