Gota stop buying old things, so went from my 1892 house back to my 1982 Esprit at the weekend.
Problem appears to be sorted but haven't had a long drive yet. I have updated the diagram I did earlier to show the lost motion which is omitted in the workshop manual , couldn't figure that out for a while. The problem arrears to be the red rubber grease. When assembled with the grease the piston slides through the seal with little or no friction for the seal to retract the piston. I cleaned all the grease off everything and assembled only with brake fluid , I now have a retraction of 0.1mm - 0.15mm and after a few drives around the yard the brakes are not locking. Need to go for a long drive next.
One problem I still have is that one of the handbrake seals is leaking slightly. These are the old ones as they were different size to the ones that came in the kit. Has anybody got experience of replacing these seals.