Your hose should not be moving, blowing off or swelling Neil; you have a problem there that needs urgent attention. Those symptoms are not usually associated with an overheating cooling system.
I don't have experience of your engine but I know that the turbo is water cooled. If you start the engine from cold with the expansion tank cap removed, is there any sign of pressurisation? Are there any bubbles in the coolant?
Hopefully a 1.8t owner will be along soon with better advice.
Simon
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"Whatever is rightly done, however humble, is noble."
Sir Henry Royce.
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