Arriving home, Alfie’s swept up in the Vic’s New Year celebrations. Fed up of hospital, Kat pulls out her drip, commandeers a taxi and heads home. Every time Alfie tries to get upstairs to see Tommy, something stops him. He finds Charlie slumped in a corner, drunk. After sorting out Fat Boy, Kim and the sound system, Alfie finally makes it upstairs. When Kat arrives home, she’s surprised by the quiet atmosphere in the bar. Excited, Kat bursts into the bedroom, but stops when she sees paramedics with a sombre Alfie, Charlie and Mo. Kat realises her baby’s dead.

When Kat and Alfie are asked if they want to see Tommy, Kat runs away. Back at the Vic, Mo sits with her. Alfie looks for Kat, when he gets back to the pub Billy and Julie are clearing up. Kat tries to get the pub ready to open. She’s not ready to say goodbye to Tommy, but Alfie gently persuades her they have to return to the hospital. When Kat sees the baby’s body she’s insistent ‘that’s not my baby’. Ronnie’s upset and feels horribly guilty. She can’t bring herself to breastfeed the baby. Jack’s besotted with the baby he thinks is his new son and heads to the shop to buy some formula. Ronnie throws away the moses basket and blankets James died in. Roxy tells Jack and Ronnie that Tommy died. Jack thinks they should go and pay their respects, Ronnie refuses. Ronnie attempts once more to breastfeed, but can’t face it. She gives the baby and a bottle to Jack – she can’t do this. Ronnie cries. Jack calls the midwives, asking if someone could visit them. Tanya decides she wants to live nearer her daughters and demands an immediate viewing of Roxy’s house. Greg’s unsure; he thought the Square had nothing but bad memories for Tanya. Tanya insists it will be different; she’ll be with him this time. Abi and Lauren are thrilled, but Vanessa’s less keen on having Tanya as a neighbour. Max thinks Tanya just can’t keep away. Everyone’s upset by the news of Tommy’s death. Syed looks after the cafe so Bianca can spend time with her kids. After accidentally pulling a phone number out of his pocket, a guilty Christian admits to Syed he kissed the piper. Syed’s hurt and angry; he left everything for Christian and today should have been his wedding anniversary.

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The news about Tommy stuns Michael, while Ronnie's interest is piqued by Kat's revelation.

Abi is left reeling after a love-sick Darren proposes to Jodie. Kat makes a decision when her and Alfie's attempts to reignite their love end in disaster.

Glenda informs a shocked Roxy that it was Phil who stole her wedding money. Phil is forced to take drastic action when Glenda threatens to expose him at his party.

Whitney's light fingers leads to a headache for Janine. Whitney makes a dangerous decision, and Janine has a narrow escape at the R&R.

Still hurt that Kat kissed Michael, Alfie puts on a cheery front and organises a Mexican night at the Vic. Alfie pawns his wedding ring for the money he owes Michael, but later discovers Michael’s returned the money. He gives the money back and tells Michael that he saw him kiss Kat, but Michael insists Kat kissed him. Roxy’s worried about Alfie, who realises she’s the first person who’s asked how he is. Alfie’s doodled K & A in a heart over his Mexican night flags. Kat’s touched and confesses that she kissed Michael. Alfie doesn’t react, but violently smashes the Piñata for Mexican night. Alfie tells Kat he doesn’t care about the kiss, but he lost a baby too, and she’s never asked him how he’s coping. Alfie admits sometimes he hates Kat, because this is all her fault. Janine’s angry with Whitney, but defends her when Roxy threatens to tell the police she saw her steal David’s wallet on CCTV. Ryan wants Whitney to leave Janine’s, but Whitney refuses. When Whitney won’t go out that night searching for men, Janine tells her to leave if she can’t pay. With nowhere to go, Whitney sleeps in a shed on the Allotments. Michael walks in on Ronnie comparing a passport photo of him to baby James. Ronnie says it just fell out of his bag, but Michael knows she’s lying. Tamwar realises Masood’s behind Afia’s decision to go travelling. Masood tells him to respect Yusef’s decision to send his daughter away. Darren urges Tamwar to take charge, and Tamwar tells Masood he knows about his ‘chat’ with Afia, and insists he talk to Yusef. Heather does an ironing job for Darren for some extra money, and is let down when he can’t pay her.

Kat's continued torment at losing baby Tommy proves too much for Alfie... --- Ronnie claims she stole Michael’s photo for Roxy but Jack soon discovers she’s lying. Ronnie insists she wants Michael nowhere near the baby and goes mad when she finds Jack and James with him in the Vic. Jack wants to know what’s really wrong with Ronnie. She nearly admits the truth, then claims she’s not coping and agrees with Jack’s suggestion that she needs professional help. Roxy realises Ronnie lied about Michael coming on to her. Ready to do the pregnancy test, Syed and Christian track Roxy down at her flat and find Roxy and Michael together, it’s obvious they’ve just had sex. Christian’s angry and Michael leaves, confused. Sure Syed and Roxy don’t want a baby, Christian storms out. Syed and Roxy admit they’re jealous of each other. Syed assures Christian he does want kids. Roxy’s upset when she finds Michael in the pub with another woman; Syed and Christian comfort her. No-one realises that Heather’s in her flat, unconscious. Shirley’s had enough of her friend and Patrick and Dot are annoyed when Heather doesn’t turn up for work. Left with Tamwar, George ends up covered in curry. Darren finds Heather when he breaks into her flat to get George’s clean clothes. Shirley arrives as Heather’s being carried into an ambulance. Darren insists on going to the hospital. Patrick accuses Shirley of being a bad friend. Shirley watches as Heather’s driven away. Kat thanks Whitney for all her hard work. Whitney’s tempted by a bag of money in the Vic and later scams Ricky out of his change. Kat and Alfie barely speak whenever they meet. Kat receives an envelope from the Coroner’s Office. Dots snowed under at the launderette. Fat Boy steps in to help and persuades Dot to arrange community meals for Jim.

Zainab and Masood get much more than they bargained for when they put aside their misgivings and meet with Yusef. Ronnie takes drastic action to curtail Roxy and Michael's burgeoning relationship while Julie, Kim and Mo join forces to persuade Kat to talk to Alfie. Heather finally reveals the true extent of her financial woes to Dot.