Although this doesn't happen all the time (e.g. when Wallsend to Tynemouth was blocked, a good amount of trains were displaying the correct terminating station instead of St James/South Shields.
Double-edged sword - people will see trains advertised as 'Airport'/'St James' then wonder why half way they are getting kicked off at Haymarket.
Most if not all drivers do normally announce that the train will terminate at the next station and explain why that is the case and tell passengers to get the replacement service 900 to continue their journey. I was on the "coast" train coming from the South side of the Tyne and when I got off at Monument I noticed it said on the platform indicators that it said "This train is for Haymarket" and heard the very rare announcement of the automated PA woman saying "This train is for Haymarket".
I do have mixed feelings on not showing the correct destination because yes passengers could wait around for a train they are going to will never show up but most if not all passengers will hear the PA's during the week, will see the platform indicators and on the day itself we get more PA's telling that the service is suspended between stations so surely to stop passengers getting confused that the right destination should be shown on the trains and the platform indicators. Plus the confusion must even raise more when the interior PA's saying this train is for all stations to St James' via Newcastle.
I know not all stations are listed in the blinds but Haymarket and South Gosforth are so I do feel Nexus have to have a re-think on this because whats the point of putting stations where trains don't normally terminate like Haymarket on the blinds if they are never going to be used?