VOLKSWAGEN Financial Services is launching a banking operation in the UK to offer customers a wide range of motor-related banking products. These will add loans and deposit schemes to VWFS's current portfolio of instalment finance, leasing, stocking, service and maintenance products.

The company already has 200,000 UK customers and over 800 dealers using its financial services, from the Volkswagen, Audi, SEAT and Skoda franchises. Volkswagen Bank GmbH is one of Europe's leading automobile banks, and will bring its experience to bear in the UK. Volkswagen Bank GmbH requires permission from the Bank of England before it can establish a bank in the UK, but the new loan and deposit schemes are scheduled to be available in the latter part of this year.