kf4mat wrote:... it figures that I would buy the wrong thing.

Oh well, I went searching for the "Smokey Joe" and see it is just a little bit more expensive. It would really be easier if Hornby, Bachmann et al would just make their whole product lines available on both sides of the pond.
Anyway now I don't know if I want to try anything with this one or not, went to Smallbrook studios and was checking out the "Columbine" which was shown in a post above. Wonder if Hattons will buy the "Stupid American excuse" and let me trade up for it.
Don't worry about it - if I were in your position, I'd just go ahead and use what you've got.
In case you're wondering, the Hornby "0-4-0T" (which you've got), their "Smokey Joe", their "GWR 101" and their "Class 06 diesel" are actually the same chassis - the only difference is that "Smokey Joe" and "101" have outside cylinders and conn rods from these to the wheels on one axle.
(I can't prove this - as I don't have both in front of me - and I don't have a digital camera / photo hosting account. However, in the past, I have held these models alongside each other - and they're definitely the same chassis.)
Other than that, they are identical - so if one version works, they'll all work.
One point that's been missed here is that your model will be freelance - so you don't need to worry about the lack of outside cylinders. However, if you are concerned, there's nothing to stop you adding tramway skirts to your model.
In other words, you'll be fine - and so will your model. Any comments here have actually been about what you might wish to get for future projects - please don't let them detract from what you're working on now.
I don't know if these links might be of any interest to you.
First, Hornby's list of loco service sheets:
http://www.hornby.com/customer-support/ ... 3,HAR.html
The one marked "0-4-0 locomotive" might be of particular interest to you - this is the loco you've got (it's also "Smokey Joe"):
http://static.hornby.com/files/ss-200e-0-4-0-405.pdf
Finally, here's the sheet for "Bill and Ben":
http://static.hornby.com/files/ss-265-238.pdf
In case you're wondering, I believe the Bachmann Junior range is available in the US - it's sold there as the "Thomas the tank engine" range.
From what I've read elsewhere, different companies are licensed to produce "Thomas" stuff for sale in different countries - in the US, it's Bachmann - in the UK, it's Hornby.
Again for future reference, you might sometimes find old ranges being sold off at ridiculously low prices. It doesn't happen very often - and you might sometimes need to think about how to use some of these - but there's no harm keeping your eyes open.
For example, the other year, there was a (very young) children's TV series "Underground Ernie". The series didn't take off as planned - and Bachmann found themselves with a load of "Ernie" trains, which they ended up selling off dirt cheap. The bodyshells looked nothing like anything that's ever run on real tracks - but the chassis were perfectly serviceable (even if they could benefit from a few "tweaks"). Some modellers were able to bag themselves a bargain.
OK, "Ernie" isn't likely to reappear any time soon - but I wouldn't bet against the chassis reappearing in something else. I also wouldn't bet against some manufacturer deciding that they need to "dump" some other range in the future. The key is being in the right place at the right time (and seeing potential uses).
Anyway, please try not to worry - what you've got will work just fine.
All the best,
Huw.