I have used the "3D taster" type indicators in industry and have found them far from satisfactory . Their initial accuracy may be great but soon degrades, to the point where it will lie to you every time, and you don't know if you are .0005" off the edge or .002".
It was a brilliant stroke by their designer to incorporate the beige ceramic part to protect the sensitive inside parts. It guarantees income to the company, because they shatter at the least shock, and then you have to buy a new ceramic part! As soon as you release the holding ring for the ceramic once, the ring will not stay tight after.
The large body of the device is bulky and in the way and far longer than most tooling you are zeroing for. The needle movement on some I have seen is jerky and some needles are quite thick, decreasing their accuracy.
I suggest selling the gizmo asap and getting a pin and a piece of clay, or one of the needle and sphere with collet pure mechanical indicators from years ago . If you want something a little fancier but far more robust and very accurate, as well as simple and compact, try a Borite lighted edge-finder indicator.
**LINK**
These are similar to old fashioned solid steel "jumping" ones, but use light instead of a jumper and spring to indicate when the indicator's .200" diameter is in contact with the work. If the unit is ever suspected to be bent or damaged, it can simply be spun in the chuck to see if it is running out. I've used a Borite unit for years and never known it to lie. They will also take some mild abuse without losing concentricity, in my experience. Simple to use, too – just make contact with the work SLOWLY, until the light just comes on. Raise the indicator, move over .100" and centre of tool is aligned with the work within a few tenths of a thou.
These devices only cost about $40 USD but I am not sure if they are sold in UK. An email to the makers at the link above will answer any availability questions I'm sure.
Just my $0.02 – your mileage may vary – JD