I watched it last night, I enjoyed it for the most part.
The big surprise for me was that despite the whole fall-out of Wheelers Dealers was supposedly because Edd wanted to stop the focus shifting away from the ‘working on the cars bit’ what did we see? Edd Drives around in the snow talking to the passenger seat, Edd talks to the guy with the Golf Show, Edd goes to the powder coaters (I think we all know how powder coating works now yeah?) and Edd and car owner peg the roof living in place and drop the engine in with a hoist – only for the bulk of the work to be done by the owner off-screen.
As for the legality, how Edd managed to get it re-registered as an Oettinger S16 I don’t know, they weren’t just a MK2 Golf 16v engine in a Mk1, it’s a different engine (bottom end from the 8v engine and a bespoke 16v head) with a different capacity (based on the early 1.6) but if it works, it works.