You are missing some of the basics, because a MkI is about the toastiest thing on earth in the winter (outside of a Mk II)!
First of all, the thermostat makes a big difference. Check around for the highest value you can find (note, it might exceed the rad switch, so you may have to put a disable switch on the fans).
Second, the water pump is probably the single biggest suspect. If an old Mk1 has had it's pump replaced, and you end up with some mickey mouse (sorry Walt) stamped steel impeller, it will cool the engine, but it won't circulate through the heater core. You need to be certain you have a European, QUALITY water pump with a decent impeller.
Make sure your water valve is fully open (no joke, the cable can slip).
DO NOT, I repeat DO NOT mix anti-freeze other than exactly 50/50. Higher viscosity from too much glycol changes viscosity a lot and again, won't circulate to heater core.
Block the cold air from the grille, AND the areas below. While it is true that the thermostat DOES do all of the water temp regulation, the blast of cold air on the highway cools off the rest of the engine and the firewall something awful.
There IS the possibility that over the years, your heater core is fouled from cooling system junk. I am not so sure that flushing will work, but it is worth a try (that is, a chemical flush). After that, your option is only to replace the core (they do not have infinite life, so not a waste of time and money).
Forget adding a few glow plugs to the circuit. While it won't hurt anything, I doubt you will find any actual benefit (except keeping more load on the engine idling). You don't have nearly enough alternator to run a 1,500W resistance heater.
Which brings us to the next point: bump up the idle speed so it can warm up when parked, and keep the headlights on high beam, heater full one, rear defrost, all electrical loads full on to load the engine.
There are some TINY Webasto (second choice) or Espar (Ebserpacher, first choice) heaters for both air and water, but man, are they pricey. I have one (water) in my pickup (7.3 Ford/IHC) and it will warm the engine AND CAB from -40 in less than an hour. Kiss a grand goodbye for these, though. I would make the car work right before getting silly.