In her first Christmas special, T.Bag tries to trick Santa Claus into delivering presents that will help her take over the world instead of his own. She goes to the first house on Santa's list disguised as a nanny called 'Merry Pippins'. But T.Shirt attempts to stop her dressed in a Santa suit.
T. Bag turns Sally into a homeless street urchin and then decides to ruin everybody else's Christmas as well. But kindly Emily Scrumptious takes Sally in, giving her tenant Giles Pickens inspiration to write his Christmas story.