The announcement was made by CEO Matthias Müller at the company's traditional New Year reception in Brussels as he also said that Europe needs to lead on electric mobility as well as digitization and autonomous driving.

Europe should set the course “also in terms of infrastructure and the right legislative framework,” Mr Müller told the numerous honorary guests and EU parliamentarians. “We must not leave this playing field to Silicon Valley.

“The efforts of our industry alone won't be enough. We need to work together to make sure that Europe remains innovative and competitive as an industrial location in a rapidly changing world,” Mr Müller added. “A true breakthrough for electric mobility will only be achieved if politics, society and authorities work together more closely.”

The CEO also said that Volkswagen would concentrate on sustainability “more than ever before” and that would include the company's products, strategy and management.

Speaking on the emissions issue, Mr Müller said: “We are using the current crisis to fundamentally realign the Group. I strongly feel we now have the chance to build a new and better Volkswagen.”

As well as emphasising that VW would have the emission values of its vehicles checked and certified by external and independent inspectors in the future, Mr Müller said that company vehicles will also be tested randomly under real driving conditions: “We hope this will help to win back trust.”

Mr Müller also stated that EU-wide, comprehensive technical solutions for the approximately 8.5 million vehicles have been agreed. The retrofitting will start this week.

“We will manage the recall in the most customer friendly and best possible way,” he concluded.