from your original symptoms (particularly the quick fall off in revs) I'm pretty sure your issue is the TTV rather than the waxstat have a look here: http://www.clubgti.com/forum/showthread.php?t=121300 always hard to be sure but it's a lot easier to check the TTV that the waxstat. on your delay before it takes off, blasting some carb cleaner through the intake might help. On a different tack, a worn front engine mount can cause a jerky drive, or any worn engine mount I guess.
Well although I have a few issues with her... put her on the rollers at Stealth on the weekend and she put out 89.0 Bhp! I dont think thats too bad at all!!! I was dead chuffed!
Ill post it up later The engine is completly standard, have done nothing to the engine at all, apart from clean it and clean it some more!