No Dash Lights, Still turns over but won't start. 1995 300tdi maybe immobiliser?

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The other day I notice when I have my inside cabin lights on and engage and disengage the hand brake the lights flicker

Definitely an earth issue, when you apply the handbrake the cable is acting as an earth. Suggest first one to check is the earth strap from engine to chassis, think it may be from a bellhousing bolt on yours
 
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