It's the Roper's wedding anniversary and George has bought her an expensive looking coat. When she asks him where the money came from she discovers that he has found somebody's credit card.
The Roper's are having another boring Christmas, so the Fourmile's invite them over for a drink. George then challenges Tristram to a game of computer tennis and wins. Afterwards, George gives Jeffrey a game but winds up losing sixteen times...and owing a hefty debt.
Mildred is out at a pottery class, leaving George stuck with the Fourmile's baby. But while sitting for him, George gets a call to join the pubs dart team.
Mildred decides to have a new shower installed in the bathroom. After several quotes, Jerry gets the job but connects the wrong pipe and winds up stealing the Fourmile's water.
The Roper's bed finally collapses after 25 years, so Mildred decides to buy a new one...but George thinks that the nearest bookmaker is the best chance of getting the money.
The Fourmile's host a Christms Pantomime but are short an 'ugly sister', so Mildred is asked to stand in. However, she loses her voice and George takes her place.
Mildred discovers old love letters in George's handwriting that have never been mailed. When she confronts him about it, she learns he was only writing to some Hollywood star.
Mildred has George join the local Tory party so they can qualify for a cheap [vacation] holiday. When they're accepted, they learn that the holiday is all sold out...so they try Blackpool instead. However, the Labour Party is holding a conference there, so all the hotels are full!
Mildred inadvertently contributes George's stash of gardening books to a church when asked...but learns that they were actually old pornos and most recollect the books before the vicar finds out...
Mildred's mother visits, but the family decide she is too old to look after herself and decide to place her in a home, however, George unexpectedly takes Mildred's mothers side and asks her to stay with them.
While the Fourmiles are away, George and Mildred decide to get their house decorated by professionals...but the interior designers accidentally redecorate the Fourmiles house...so George and Mildred must fix it before the Fourmiles return.
George tries to cover up the fact that he lost Mildred's puppy by replacing it with a look alike but all goes awry when the police bring home the original dog.
George finally sells his old car and buys a trashy old caravan. He dumps it on the front lawn and when Mildred's pesky sister and brother-in-law visit, they stay in the Roper's room so a stubborn George stakes out in the caravan. That is, until it is towed away.
Mildred discovers that George has no insurance when a relative dies and the funeral costs are overwhelming. Jeffrey decides to cover the costs but then George changes his mind...
After babysitting for the Fourmiles, Mildred begins to feel maternal-like. She tries to convince George to adopt a baby but instead they settle for a puppy.
The Ropers finally move into their new house and to help things along Ann Fourmile invites them in for afternoon tea. When they get back home they find themselves locked out and the bath water running away.
George and Mildred go house hunting and find their dream house in an up market part of town but their neighbours (the Fourmiles) do not want them to move in. Jeffery Fourmile pretends that the house has been sold until the Ropers find out the truth.