Seat Arosa Diesel starting issue

Sounds like a camshaft position sensor issue. I had a similar problem with my Arosa. Engine misfire, check engine light on. The crankshaft position sensor and the camshaft position sensor work together to tell the engine when to fire. If the camshaft sensor is bad, the car won't start or run well. Have you checked the wiring to the sensor? Sometimes it's just a loose connection.

Wiring looks ok to me. Where exactly is the camshaft position sensor located? And what does 'engine misfire' actually mean?

The camshaft sensor is usually located near the camshaft, often on the cylinder head. 'Engine misfire' means that one or more of the cylinders in your engine isn't firing properly, leading to incomplete combustion. It's not good for the engine. If the wiring seems fine, best get the sensor checked or replaced at a workshop. Could also be a crankshaft sensor issue, but the error code points to the camshaft. Good luck!

Cheers for the advice, got it sorted. Turned out to be a faulty camshaft sensor. New one fitted, cost 95€ and it's running sweet now.