Are you sure you have a recent VCDS-Lite? It should go into measuring blocks exactly the same as the full version. 
As for the cruise control, that could be the stalk, I know for a fact mine is dodgy and I've seen many comments over the years from others having the same opinion.
Cruise happens to be in the same area so I looked at that as well today and I could see that operating + or - functions on my stalk would occasionally just return a status of "off". That is consistent with what I find when driving in that it will sometimes just disengage randomly and quite often when I try to change the set speed. I think it's the slider switch that is the main culprit as the "set" button on the end seems relatively reliable.
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2003 D2 FL S8. Irish Green Pearl/Beige. Solar sunroof, auto-dim mirrors, electric rear seat functions and extended leather. Ski hatch retrofit. Aftermarket reversing camera. DVB-T and XCarlink now removed as redundant.
2016 Volvo V40 T5 Cross Country (4WD) with ALL the toys including adaptive cruise etc. etc. Osmium Grey with Blonde/Charcoal leather interior. Polestar performance "optimisation".  (Even rarer than a D2 S8!) Oh, and a brand new engine at just under 30,000 miles on the factory one! 
Finally: gone, but not forgotten.....
1998 D2 PF S8. Agate Grey/Platinum. Every option (I think) except electric rear seats, Tiptronic steering wheel, ski hatch, towbar & dimming door mirrors.
e.g. Cruise control, NavPlus/TV, Bose, GSM, Xenons, Solar roof, Parking sensors, Alcantara/leather everywhere of course.  (internal dimming mirror added later)
1998 (very early) Ford Focus 1.8 Zetec; ABS/TCS, Heated screen/mirrors, Aircon. Added Auto-dim mirror, Leather seats, Trip computer, Cruise control, OEM Ford SatNav with CD changer.
And before that a lot of Rover 800s, a few oddities, a lovely Triumph Dolomite 1850HL with Overdrive and way back in my schooldays an Austin Seven aka Mini 850!
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