engine rattles at idle

you have an internal issue with noise and a flashing oil light. you are damaging it even more by driving it. get it checked asap before you need a complete motor replacement. roy

Don't drive the car in this condition, you can cause a serious engine damage. These cars are notorious to build up sludge and clogging oil passages. You can google VW 1.8 turbo problems. Anyway, a serious de-sludge might be necessary for the engine - if it isn't to late. The noise is probably caused by the failed timing chain tensioner at the back of the cyl. head or the lack of oil at one of the lifter. Zee