Phyllis is astounded to find Raquel living with Des and Angie tells Raquel she's a calculating little cow and tells her she's wrecking her relationship with Des. Raquel assures Curly that she is not after Des. She asks him to defend her from Angie's wrath but he accuses her of stringing him along. Des tells Raquel he was never serious about Angie. He makes overtures toward her but she tells him she just wants a friendship with him. She agrees to pay him £20 a week. Jim brings Liz home from the hospital. Steve breaks down and has to be comforted by Liz. She refuses to let Steve blame himself, feeling it washerfault that Katherine died. Jim registers Katherine's birth and death. Alec returns home and Bet gives him a warm welcome, but Vicky is annoyed when Bet insists she return to school at the right time, as she wants to see more of Alec. Percy and Emily transfer all the shop stock to another shop and Deirdre and Ken receive their divorce papers.