It's Christmas Eve and Alf still has no present for Else. The black man selling cheap British watches looks like being a life saver but maybe Alf should have held back on the racist insults before buying. On Christmas Day Alf propounds his view that Jesus was English, which the others dispute. However, a meeting in the pub with the cast of 'Jesus Christ Superstar' seems to support Alf's theory.
Facing another Christmas with a frugal dinner Alf cons the vicar into giving him a Christmas hamper but Mrs Hollingbery refuses to accept it because it has been dishonestly obtained. So Alf takes it to the pub to raffle, making sure that most of the slips of paper with the winning name on bear his. However he is outwitted at the last minute by the equally devious Bert Luscombe.