Volkswagen 'agrees to pay $10bn' over emissions scandal

Car owners could get up to $7,000 each. Credit: PA

Volkswagen has agreed to pay around $10.2 billion (£6.89 billion) to settle US claims following the emissions cheating scandal, sources have told AP.

Most of the money would go to 482,000 owners of cars with two-litre diesel engines programmed to cheat emissions tests.

Car owners could get $1,000 (£675) to $7,000 (£4,729) each, depending on the age of their vehicle.

The source said some money would be paid to the government in penalties.