Dolly is pregnant by Tom. Jack announces that he is resigning as Union secretary and handing over to Matt. He will also move out of the house to allow Matt and Sarah privacy when they marry. When Jack demands a high price, Manners refuses to buy the land that Jack obtained from Lady Caroline. Nevertheless, Jack decides to go ahead with the demolition of Mandrake Place. Tom helps in return for Jack's agreeing to let Dolly divorce him. In the event, Jack insists that he rather than Tom fires the shot.