Whilst I'm using my FIP tickets for a railway trip in England next month, I'm travelling with my Grandson, so I bought tickets on Trainline last night.
However, despite the train being advertised as direct, the tickets are from York to Newark North Gate, and from there to our destination in Peterborough, same seat and coach number.
Am I correct in assuming this is just a way to get cheaper tickets?
Yes.
Through tickets are often charged at a premium compared to the sum of multiple tickets for shorter sections of the route. This is due to market based pricing principles being deployed.
Trainline only offers one "split point" (two tickets) maximum, or at least did the last time I checked.
Greater savings can be made on some journeys by using the forum's site which has no hard limit. For example if you travelled to Cornwall, you'd likely need half a dozen or more tickets to have the best combination.
You still get one PDF document, and there is no reason why the same seat can't be used (compared to a through fare on a through train, where available) so no reason to pay the full market rate. It's all calculated for you and it doesn't affect your rights, such as your right to be conveyed to your destination if delays occur and your rights to delay compensation etc.
The only caveat is that if you obtain
flexible tickets, the requirement to call at the split points
may result in some loss of flexibility, but the general principle is not dissimilar to route restricted through tickets (if the stations are called at by all services then it is de-facto the same).
If you have Advance tickets, split at Newark, there is literally no downside to "splitting" compared to a through Advance to Peterborough.