The Garveys arrive in Benidorm to spend Christmas with Madge and Mel at their palatial villa but Mel is absent, apparently stuck in Morocco on business. Donald and Jacqueline book into the Solanas with ten like-minded 'swingers', annoying manageress Janey whilst the Oracle's mother Noreen, a recent lottery winner, turns up with her new beau Clive - whose bad back leads them to be charged for lewd behaviour on the beach. Su Pollard is due to headline at Mel's Benidorm Palace but, after accidentally ending up at a nudist hotel, she is not happy and when Madge mistakes her for Rod Hull, with whom she argued twenty-five years earlier and insults her, Su walks out. Fortunately Donald and Jacqueline save the day by getting their friend Roy Wood to fill the breach and the evening is a great success with Clive also proposing to Noreen for the right reasons. Then Madge takes a fateful call from Morocco. . .
Granville gets more than he bargained for with a cheap Christmas tree. Later, the shopkeeper holds a cozy drinks party where he and Gastric try to get Madge into the festive spirit.
Granville and Gastric find themselves acting as marriage guidance counsellors. Leroy adopts a festive disguise to avoid relationship trouble of a different kind. Mrs Featherstone struggles to find the Christmas spirit.
It's Christmas and everyone seems to have plans to leave town. This could leave Granville at the mercy of Mrs Featherstone. He must persuade everyone not to travel and to buy his wonky Christmas crackers.