After telling Colin of his dream where he is in bed with Kara Tointon and served a joint by Paul Weller Moz confesses that he really wants Jenny back and makes a Valentine card for her. However she chose P.C. over him and has now joined the police force herself. When Psycho Paul is stabbed by the Red Mist,a mythical ginger gang, Moz has cause to call the police and tries to win Jenny back over a bottle of vodka but he passes out. Romance could be in the air elsewhere between Cartoon Head and Nicki's sister Jess,who has just arrived in Manchester.
A hard-up Moz wants to call in his debts but nobody wants to pay. Derrick and Yasuko are saving for their new arrival,P.C. reckons it's Moz who owes him and Cartoon Head and Psycho Paul are put off the drug scene now that the Red Mist have muscled in and stabbed Paul. Tilly agrees to help Moz sell his rare records on E-bay but they get ruined thanks to Brian stalking her whilst Cartoon Head gets it together with Jess and Carmel manages Jason in his new band - whilst performing tricks on the side.
Moz is not happy to have to lower his prices on learning that Nicki,employing Cartoon Head and Psycho Paul,is undercutting him. Lee is not happy to find Jason,now managed by Tanya,doing well in the pop charts whilst he is stacking shelves at Londis. Judith is not happy to know that Cartoon Head is having an affair but resists the urgings of baby Plastic Face to take murderous action. Noone is happy to hear the the Red Mist are slaughtering all rival gangs so Nicki decides to put it about that Moz is the local big dealer,not her,whilst Moz wants P.C. to bust her. ...
After Lee has told Moz his secret plans Nicki calls a meeting of her gang and invites the Triads to join them against the Red Mist. P.C. takes a shine to Tilly,who mistakes some paintings by Nicki's little boy Sanjeev for avant-garde artwork by Moz and agrees to exhibit them in her gallery. Discovering that she is not a Lesbian and seeing a chance for romance, Moz plays along whilst Jess and Cartoon Head experiment with ketamine and imagine themselves sucked into a giant red hand-bag.
Love is in the air for Moz and Tilly,who still believes he is a talented painter and for Nicki with Cartoon Head's young gang member Xavier though Judith is still seething that Cartoon Head has left her for Jess and Colin has to pay for sex with Carmel - whose most regular customer Jake has admitted to her that he is a member of the Red Mist. P.C. meanwhile tells Moz he has it in hand to have Nicki busted so that the pair of them can take over her drug-dealing business.
Moz admits his art fraud to Tilly,who forgives him as she loves him. Yasuko,however,dumps Derrick for Fist. Nicki gets arrested by P.C. having told Jess she is her mother and rung the Red Mist to get them on to Moz but she relents and allows P.C. to tip Moz off so that when the Red Mist arrive,Moz has taken appropriate evasive action. Carmel has to choose between Colin and Jake,who are both threatening suicide,though Jake makes it easy for her while Judith finally gets lethal revenge on Cartoon Head.