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With head teacher Rachel away on school business, deputy head Eddie’s in charge and is trying to steer a steady course at Waterloo Road. But his plans are thrown off-kilter by the arrival of travellers, who have set up camp on land next to the school. The travellers’ children are to join the ranks of the comprehensive but there’s soon tension created by a ‘them and us’ mentality.

Eddie’s solution is to have a game of football. Kyle, one of the kids from the travellers’ camp, turns out to be a bit of genius on the pitch and Eddie’s told by staff that he’s also rather good at English. But the footy match descends into foul play and Eddie finds the very unsportsmanlike behaviour gets way out of hand…

The school uniform becomes a bit of an issue when Janeece returns to classes after her breast enlargement. Kim’s left with no choice but to forbid anyone to customise the uniform and insists that all the pupils wear exactly the same.

Meanwhile, a broken-hearted Marley, who has broken up with Flick, turns to mum Rose for support. But her plans to help go badly wrong and her search for answers in a vodka bottle has disastrous consequences…