Thanks Ian, Your points are well taken.
I have to admit I just knocked this up using a bit of plate I had about and it should have been thicker and taller in hindsight as you so rightly say and bring the blade out towards the front of the holder for flush cutting. I think that sounds like a good Mark 2.
As it happens the step on the loose plate goes about half way down the back of the blade but I didn't want to go too thin on the step. This again is where a thicker plate would have helped. Anyway that's why I need the pins in order to restore the blade to vertical because the dovetail recess pushes the blade towards the back and the plate isn't there to stop it.
So a taller, thicker plate next time.
I must admit for grinding I used the tailstock live centre point to mark the centre line on the blade (sharpy marked) when it was mounted before I ground the blade and rake first time around. So, I haven't had to resort to shimming yet but I guess that's always an option – I have a couple sets of cheap dismantled feeler guages ready for that purpose.
Jon