January 1938. Just as the Bourne family prepares a celebration for Lady Alice's 70th birthday, a speech made by Arthur that does not tow the party line inflames his constituents. Laura hopes that she will soon be Mrs. Peter Cartland. Liz questions Phyllis about her headaches, and Phyl confides in her niece about a potential medical condition she wants kept secret from Jack. Arthur lays his cards on the table to his constituency and threatens to cause another bi-election. Later, he meets pretty journalist Angela Scott, who piques his interest.

Lady Alice implies that she would like to see Arthur and Rosemary married. Liz and Phyllis are at odds over the issue of abortion. Later, a recently qualified Liz is called to the home of a village girl and must deliver her first baby. Rosemary busies herself with a recital and preparations for Peter and Laura's wedding. Arthur phones Rosemary and makes a date to talk with her. Liz explains to her family the deplorable conditions of the village and feels ashamed to be a Bourne. Laura admits to Peter her real feelings about their wedding. Arthur is distracted again by Angela Scott. Jack reacts to the news that he is to be a father. Nanny has guessed Phyllis' secret. Rosemary learns from Peter and Laura that Arthur has been spotted around London with an attractive young woman.

February 1938. Vicky is greatly disturbed by Hitler's speech on the wireless. Rosemary finds plans for her Red Cross recital going terribly awry. Arthur and Angela Scott discuss the tragedy of Vicky's relationship with Klaus in view of the world moving closer to war. Rosemary's star pianist leaves her in the lurch. Arthur implores Vicky to save the day, but she is terrified. Lady Alice gives Vicky a pep talk. Impresario Conrad Neilson takes an interest in Vicky, but Klaus coldly issues a warning. Vicky has to face the truth.

March 1938. Arthur worries about Vicky, who is visiting Munich with Klaus. Phyllis finally shares her good news with Arthur. Gates informs Liz of the trouble with Sam Woods and his pregnant wife Daisy, about to be evicted from their home. An upset Rosemary confides in Liz that Arthur has been seen around London with a young woman. Liz takes on Mr. Parry to stop the eviction order. News arrives that Hitler has occupied Austria. Arthur and Angela comfort Mrs. Weiss, an Austrian neighbor whose son is Jewish. Angela agrees that Arthur shouldn't play a pocket Hitler with the Woodses. Jack gossips about a rumor involving Geoffrey and Penelope Finch. Liz is forced to stand for the Woods family against the bailiff and Parry.

April 1938. The Bourne family learns that Hedges is going to destroy nearby Elsmore Estates for a factory. Arthur invites Angela to Larkfield Manor to meet the girls and Lady Alice. Angela's closeness to Arthur irritates Mrs. Gates. Arthur reassures his mother that he loves Rosemary, but not he's not in love enough for marriage -just yet. Arthur invites Angela to meet Rosemary at Layford, and a jealous Rosie reciprocates with a surprise guest of her own. A scheme to dissuade Hedges simmers at Larkfield, but with the men failing, one of the women works her clever powers on Hedges.

May 1938. Arthur brings news about Hitler and the Czechs. Klaus and Liz clash over politics, upsetting Vicky. Smug estate agent Parry receives permission from Arthur to deal with disgruntled laborer Bryce, but doesn't give Arthur all of the details. Gates convinces Mrs. Gates to go drinking and dancing, and their joy ride culminates in a disaster, where Bryce is a bystander at the accident scene. Gates admits to Arthur that he was drinking before he and Mrs. Gates went for their drive. Bryce creates a scene with the Bournes in the churchyard. Liz demands that Arthur show Bryce the same concern as he does Gates. Parsons has an idea about clearing Gates. Arthur meets with Bryce and learns of his family tragedy.

When a local pilot crashes near Larkfield Manor, Phyllis is terrified for Jack, who has entered the King's Cup air race. Jack decides to continue the race despite Phyllis' fears. Rosemary confides in Liz that Peter and Laura appear to have had a row and were cold to one another before Laura left for a visit with cousins. Later, Phyllis receives a letter from Katie Biggins, who reveals that Peter has checked into a hotel in Nice with a young woman he is passing off as his wife. A furious Arthur leaves for Nice with Geoffrey. Phyllis dreams of a plane crash and her husband's death just as Jack begins the race. Rushing to phone him, Phyllis falls down the stairs and goes into premature labor. Liz calls Jack with sobering news. Jack begs Liz to save Phyllis if it's down to her or the baby. Arthur and Geoffrey arrive in Nice and confront Peter, but the identity of his secret lover shocks them even more. At Larkfield Manor, Liz finally emerges from Phyllis' room with news.

With everyone bored by a rainy weekend at Larkfield Manor, Jack livens the scene by using a movie camera he won in the King's Cup to film a murder mystery starring the family and servants. Arthur shares his fears about war with Angela after she informs him that Hitler has banned Jews from practicing medicine. Lady Alice's refusal to have Gates in her bed for the film results in a new plot twist. Peter is unhappy playacting when he has already seen some of the atrocities of war in Spain. Vicky worries about Klaus who goes suddenly missing in London. The arrival of an ...

Nanny and William's private nurse disagree sharply about comforting crying babies. Angela wants to spend a quiet day with Arthur by the river, but Rosie and Peter arrive to share with Arthur their fears about Geoffrey. Mrs. Gates takes notice of Nanny's odd behavior and informs Arthur. Geoffrey arrives and confides in Arthur about the latest developments with Penny. An annoyed Angela exchanges catty comments with Rosie and Geoffrey. Nanny gets into trouble with a shop in the village, as she continues to regress more deeply into the past. Peter and Rosie have harsh ...

Liz finds herself on the march after becoming friendlier with Dr. Sarah Martin, who has been accused of being a Red sympathizer. Sarah and Liz participate in a peaceful demonstration that turns violent when the police intervene. With political implications for Arthur, Angela volunteers to interview Liz and Sarah and soften concerns that Liz could be involved in Communist activities. However, Sarah's visit to Larkfield Manor creates tension with Klaus, himself a victim of a demonstration. The animosity between Klaus and Sarah threatens his relationship with Vicky. ...

September 1938. With the certainty of war, Jack implores Arthur to help him in his quest to protect Phyllis and William. Arthur pleases Liz with his plans to improve the cottages, but first he must receive an overdraft from the bank. Lady Alice shares a warm moment with Laura on the eve of her wedding and finds it surprisingly difficult to give away her best jewelry to her granddaughters, who are preoccupied with wedding preparations. Arthur receives unanticipated news from the bank. Peter's best man takes a keen interest in one of the Bourne sisters. Arthur confides ...

Arthur lectures the family on potential air raids at Larkfield Manor. Jack's dark humor upsets Victoria, who fears she and Klaus will never see one another again. Rosemary shows Parsons a gas mask and learns that many of the staff are deserting her for more patriotic and profitable war jobs. Victoria convinces Arthur to take her to London with him for one last meeting with Klaus. Lady Alice suggests hoarding petrol and food. Gates informs Arthur that he wishes to rejoin the military. Peter receives word that he must return and await deployment. Laura's decision about ...

With the war approaching their doorstep the family have to go their separate ways, their old way of life gone forever.