So I milled the key to clear the new bolt:

and set it up using the "against the chuck" method suggested earlier in the thread:

I tried it on some steel, and then some brass. It was "OK", but in no way was the step change I thought I'd notice having read about the improvements to parting this should give. I thought I noticed some movement, so I went ahead and milled an extra slot in the block, for a clamp, which fitted perfectly:

I then tightened the bolts after setting against the chuck again, and…something felt wrong. Surely not a stripped thread?
No:

This really sums up for me the utter misery of making tooling – I spend hours fettling something, for it to fail. I suppose I should have investigated further why it was in a box in the first place – and the out of square on the faces should have prompted me to treat it with more suspicion. I think it may have been cracked already, and using it for the first time yesterday propagated it a bit, then re-tightening it was the final straw.
I'm having no luck at the moment at all with trying to fettle my equipment. Even the leadscrew nuts I was sent for the slides didn't fit, and I'm having to modify them. I'm not sure if this happens to anyone else, but sometimes I can't make any progress, and it would be easy to give up and just sit and watch telly. That's two weekends' worth of free time wasted on various dead end projects in the garage.
So, undeterred – for now – can anyone recommend a rear toolpost for an ML7, and also a good parting tool? Please don't suggest making one – I have less than zero interest in making tooling, I just want to buy something that works.