Denise celebrates her fortieth birthday. Jim and Bill enjoy working together as they do a plastering job at Mike's flats. Maud takes Deirdre on part-time at the shop. Deirdre is glad of the break but Alf is disappointed as he wanted to spend more time at the shop. Derek has two weeks holiday he has to take and plans to take Mavis to the Lake District. She isn't keen, preferring somewhere hot. Mike is annoyed to find one of his tenants has run away owing back rent. He agrees to rent the flat to Bill. Jack is delighted to employ busty Lorraine Ramsden. She is useless behind the bar but Jack makes excuses for her. The Malletts throw a rowdy house-warming. Kevin lends Bill the deposit for the flat. Gail is upset by the way the children have been affected by the split with Don. She offers to pay Don £5,000 for No.5 but only let him stay there until Nick is eighteen. Don refuses. Rita's life insurance policy matures. She stuns Mavis by telling her that she's taking her on a cruise. Fiona tells Tony she doesn't care which team he plays on. She makes it clear she likes him and lets him kiss her. Jim and Bill agree to go into partnership together.
