Paul,
Civilian airports use QNH - pressure at sea level. Military airfields often use QFE - pressure at airfield elevation. Only when you have QFE set will the aircraft read 0ft on landing, unless the airfield is at sea level and QNH is in use.
If you want the aircraft at Newcastle to show 0ft, then you will need to subtract 8.8 mb from the QNH
One mb = 30 ft
266 divided by 30 = 8.8
Pressure decreases with height
The airfield is higher than sea level, so subtract 8.8 mb from the QNH
Of course, if you do this, then what you see will not correspond to ATC instructions as the aircraft will be flying on QNH.
See here for more details:
http://en.wikipedia.org/wiki/QNH
