Relocating the Dropout Claw?

I’m working on a Peugeot UO10 with a dropout claw. What would happen if I relocated the claw to the rear to expose the entire length of the axle slot? I’d re secure the claw with a couple of appropriate fasteners. I’m building a gravel road bike on the cheap and this hack would allow me to move the axle back about 1/2 inch. That would put the tire in a spot between the chainstays that is cleared out for an even larger tire. I’m tightly fitting a 38mm tire now and I bet I can use at least a 42mm tire after the hack.

This hack would also allow me to remove the claw nut on the cog side of the drive side dropout. Right now that nut interferes with the chain on the wheel I may use.

Has anyone done this? Are there any immediate problems you foresee except maybe needing a longer chain?

Thanks.