The lever arm is curved to keep it in the same position in the seatbox hole as the shaft on the box rotates, so straightening it is going to be a bad idea as it will result in up/down movement relative to the hole. 
Strange that its that hard up against the seatbox as everything is pretty much fixed in position.
Are your engine/gearbox mounts in good condition? Do you have additional carpet or heat/noise shield foam etc on the front of the seatbox?
You might be able to get a small bit of movement forward on the knob by selecting low range, loosening the clamp bolt on the arm and then pulling the knob a bit further forward before re-tightening the clamp bolt.
I'm thinking 4mm for the vacuum hose, but not sure. Pretty sure I used some of the small irrigation tube from Bunnings as a temporary hose at one point.
Steve
				
			 
			
		 
			
				
			
			
				1985 County - Isuzu 4bd1 with HX30W turbo, LT95, 255/85-16 KM2's
1988 120 with rust and potential
1999 300tdi 130 single cab - "stock as bro"
2003 D2a Td5 - the boss's daily drive
			
			
		 
	
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