Alf and Jim argue over the cost of the window replacement. Alf is reluctant to claim on the insurance, so he gives Jim a glazier's bill for £145 as they sing and ring in the New Year together. Derek and Mavis cover up for his job loss. He tells everyone he's changing jobs as he's bored of Novelties. Ken tells Wendy that Deirdre knows about their affair. Deirdre is upset when Tracy tell her she knows Ken is with Wendy instead of working. Deirdre tries to explain the situation to Tracy and they comfort each other. Wendy tells Ken he's welcome to move in with her but he's worried about telling Tracy. Wendy tells Ken she's not prepared to share him with Deirdre. Deirdre sees the New Year in with tears as Ken returns from having spent the day and evening with Wendy. Bet worries about Alec as he becomes mournful, but Alec feels that he wants to find Sandra and make up for the last 20 years.