I followed the steps in this guide

http://wiki.squid-cache.org/ConfigExamples/Intercept/LinuxDnat

and it works as I wish. Websites with entries in /etc/hosts are forwarded fine, however with -d 9 supplied to ./squid I get:

WARNING: transparent proxying not supported.

I'm initially thinking of ignoring this warning as everything appears to be working fine.

Can anyone think why I should'nt ignore this?

Many thanks for everyone's help do far.

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