It was a wonderful all-round display with Sammy Robinson, Finley Burns, Oscar Bobb and Cole Palmer also on target in addition to McAtee’s treble.
And it made it two wins out of two in the U18s Premier League with City having now registered 11 goals and conceded just one.
Gareth Taylor’s side were seeking to build on last weekend’s superb opening day 4-0 win at West Brom.
And City took the game to Newcastle right from the off, with their movement, passing and energy proving potent weapons.
There were early warnings for the visitors as James McAtee’s fine left wing cross just evaded Liam Delap before skipper Cole Palmer then saw his shot blocked off the line.
And City’s early dominance was then rewarded on 14 minutes.
City worked the ball forward and the impressive McAtee evaded his marker before latching onto Wright-Phillips’ pass and firing home a fine shot.
Taylor’s side remained on the front and following another fine move and McAtee almost doubled City’s lead as his shot curled wide before Palmer than had an effort saved.
The one-way traffic continued with a Finley Burns effort coming back off the post.
On the half hour a delicious through ball by McAtee, put in Delap who rounded keeper only for his shot to be cleared off the line.
And the woodwork came to Newcastle rescue again on 33 minutes when Hodges’s deflected shot hits the bar.
However, City were jolted six minutes after the restart when Newcastle levelled.
A pinpoint Elliot Anderson through-ball split the home defence and Dylan Stephenson rounded keeper Cieran Slicker to score.
City though made an immediate response and were back ahead within two minutes.
From another sweeping home attack, McAtee’s square pass found the unmarked Robinson at the far post and the defender made no mistake from close range.
Summer signing Oscar Bobb then almost made instant impact after coming on, seeing his close-range effort being saved by Will Brown.
But a third goal did arrive on 65 minutes. The ever-dangerous Delap too full advantage of an errant back header and smartly dinked the ball over the advancing keeper and into the empty net.
With City in complete control it was no surprise when a fourth goal arrived, Bobb making no mistake from another slide rule pass from Delap.
It was raining goals now and the deluge continued as McAtee struck twice in as many minutes to round off a magnificent individual display and claim a deserved hat-trick.
And deep into injury time, Palmer’s own fine display was rewarded as he netted from five yards out to set the seal on a superb all-round performance.
How we lined up
Cieran Slicker was in goal shielded by a back four of Sammy Robinson, CJ Egan-Riley, Finley Burns and Josh Wilson-Esbrand. Joe Hodge was the midfield shield with James McAtee, D’Margio Wright-Phillips and Lewis Fiorni. Meanwhile skipper Cole Palmer and Liam Delap carried the threat up-front.