I have a Blaupunkt unit in my car and it was no probs fitting it. The slot, the cage and and the head unit will all be compatible DIN dimensions so should be able to be made to fit properly. A filler piece from Autoleads goes between the cage and the dash, but it looks a bit nasty and relies on the cage to hold it in place so I don't think it would fix any fitting problem. Best to get the cage fitting correctly by making sure bent lugs are holding it in place or get a new cage for pennies on ebay. Is it actually a Kenwood cage? Is the had unit properly clipped into the cage? If not could be the problem.
Look carefully and work out whether it is the head unit moving in the cage, or the cage moving in the dash, pulling it out of the dash and refitting if necessary. Then go from there.
Top tip: before removing the head unit, put 2 layers of masking tape on the fascia around the head unit, as the back of the radio has sharp corners and will scratch the **** out of your fascia very easily when you are lining it up to put it back in.
Cherry Rallye SOLD