Churchill is completely marginalized following the election of Nevill Chamberlain as P.M. Chamberlain pursues a policy of appeasement and orders ministers to cut defense spending. He also brings a civil servant, Sir Horace Wilson on as an aide. Lord Halifax broaches the subject of disarmament with Goehrin which causes Anthony Eden to resign as foreign minister. After promising Churchill that there will be no more accommodations, Chamberlain flies to Munich to meet with Hitler on Czechoslovakia.

Churchill's warnings come true as Hitler seizes Czechoslovakia and attacks Poland. Still Chamberlain resists admitting that it's to be war and that he must offer Churchill a position in the government.