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I read the other day that the rear bushing on a moderator should not be tight on the barrel, does anyone have a view on this?

Shouldn't be tight at all. I've seen a couple of tight bodge jobs but never a competently done job. I have 4 different rifle-moderators.

I'm no riflesmith. What I can say is that the bush on my sporter weight 243 has taken the blacking off the barrel whereas on my heavier barreled .22/250 it isn't quite so snug. Given that, mechanically, the weight and alignment of the mod is taken by the threading at the muzzle a thous or three clearance a the bush can't do any harm.

Thanks or the replies, I have machined one that is a snug fit, I will take another couple of thou out of the ID

After talking to the importer of T8 mods, I now machine them with .005" clearance.
On my own guns they are significantly more than that and I use duck tape to make up the difference thus stopping any marking on the barrel.