Hi
Just done mine. It's a mk4 02 model but probably the same.
Gently prise off, from the top, the two circular covers on the sides of the rear ashtray. They will hinge out on a tab at the bottom of each one.
Next you will see 2 tabs on both the exposed ends, these hold the ashtray in place. Gently prise these outwards from underneath and lift out the ashtray complete.
You should now be able to see the adjusting nut on the handbrake cable. If your handbrake is poor then it will be quite easy to wiggle it from side to side when the handbrake is off. Chock the wheels or leave the car in gear or both and release the handbrake. Take up the slack on the cable using a 10mm spanner. It does not have to be tight, just not slack.
3 clicks on the handbrake lever should usually be enough to hold most cars on all but the steepest hills.
Hope this helps.
Pete.
June 2009