Thanks to everyone for your useful and thought-provoking ideas. I will take them all into consideration and try them one at a time. Unfortunately, the design on which I have based my efforts (by Graham Meek, in EiM), means that the cheeks of the calipers either side of the knurls are only 2.5mm wide, so that rather precludes the use of bushing, but I may have to persue a similar route, if other solutions don't work. I could make some larger calipers but that would mean ordering some more material, involving a wait until September when I next expect to be in the UK, or horrendous postal charges!
The silver steel is spot-on 1/4 inch so the "fault", if such it is, lies in the manufacture of the knurls themselves.
I WILL get around this, somehow; just needed a bit of help. i'll post pictures in my album when it's sorted.
John