Thanks for your replies everyone.
Even if installing a relay is a "good thing" IMHO, it would be better to solve the initial problem : the switch overheating.
Overheat means, for me, high risk of fire. And this goes very fast on a bike.
I've had a similar problem where my bike used about 1A contact off. I discovered this with dead batteries even if charged all night long. They did not survive four hours standing still at work...
I solved it by a thorough cleaning with electronic contact cleaner (a huge lot of crap came out of the "device") followed by greasing the lock.
George, the key switch was cleaned out of all gunk and regreased a year ago, after discovering the female spade terminal of the headlight wire in the same position was worn through, causing a similar problem to what I have now. I suspect this has caused damage inside the key switch so need a new one too, unless there is a way to get inside them? And yes, overheating and electrics= bad mix, well acknowledged, thanks.
For the Euro spec bikes
The ignition switch is carrying the full load of the head light (us spec bikes have a relay to shed this load from the ignition switch)
Mrclubike I know a headlight relay would ease the load on the key switch but if it worked for 30 years then failed because of the high resistance behind it (bad wire) could it be said that the design is actually OK? Would I be able to test if my 'headlight on' position could power a relay?
I also think that the switch can be rotated into the "parking" position with any key, small screwdriver, etc...
Justin, that's a good point I need to see how easily it can be turned but since I don't have kids around if someone did that they'll probably nick the bike!
Thanks guys, I'll start looking into the comparative cost/effort of;
a) installing headlight relay or
b) buying a new key switch.