Peggy sets out to investigate what lies behind a small boy's behavioural problems and comes up with a surprising answer. There are surprises too for schoolteacher Wendy Atkins when Peggy returns her lost underwear and delivers an ultimatum.
Ruth discovers that she's pregnant with her second child, although she's by no means ecstatic, Cheryl drops a bombshell that threatens her marriage to Dick, and Vic's sister Sandra arrives in town after leaving her husband, Keith.
Sister Anna Kirkwall begins a new job at Skelthwaite Health Centre. Baby Jake is christened, and Simon goes to Australia.
Dick begins to come to terms with Gary Kettle's death. Stephen makes a major mistake at work, but his romance with Jacqui develops. Peggy awaits the results of her scan.
Troubled Oscar is finally gotten through to by Dick and Cheryl. The Snow family can't cope without Peggy but the schools show provides a welcome distraction.