Zx7r 97 swingarm to frame space????

[Goggles5122]

Hey guys putting my zx7r p1 back together and I've put the swingarm on the frame and the proper spacers are in. Looking from the back, on the left side of the swingarm where it meets the frame and the axel goes through there is a gap of about 4mm between the actual swingarm and frame. You can clearly see the spacer ( the one that has the square lip) is that gap meant to be there or not ?

[Goggles5122]

I can not only see the square lip but I can perfectly see the round polished part of the spacer, probably about a quarter of the cylinder part of the spacer.