Portable toilets are installed at Grange Hill and there's no shortage of pupils to use them. The Wannabees cash in by stealing the toilet paper and selling it to anyone caught short. Martin is still preoccupied by the drainage problem, while Maddie continues to use him as her own personal lapdog. Alison beats the Year 8 lads in a car race. Chloe finds it harder to taunt Alex and Alison, who both put on a united front. Tanya arrives for school wearing an inflatable bra. She's up in arms that tracksuits are now banned in PE, forcing the girls to wear ultra-short skirts. Alison is also unhappy because of her eczema. Tanya soon tires of the unwanted attention her chest was bringing and vows to fight the "sexist" PE dress code.

Mrs Bassinger warns pupils she will be coming down hard on school uniform and bullying. She then announces an enterprise competition, with a top prize of £500. Seeing the portaloos in frequent use, Martin comes up with an idea whereby pupils would recycle their own waste. He puts the idea to Mr Fox, who suddenly feels the need to bin the sandwich he is eating! At the radio meeting, Dawn likes Karen's suggestion for new bands to play for Radio Grange Hill. Maddie can't resist goading Baz at every opportunity for being dumped, and drags the hapless Martin out of the meeting.

Taylor turns up at the school gates, wanting to see Mrs Bassinger. He swallows his pride and asks to join the sixth form. At first Mrs Bassinger is dismissive, and Taylor certainly doesn't help by going on the defensive. Eventually, he admits he is not enjoying his new job as a plumber - he was basically a glorified tea-boy. Mrs Bassinger mentions there is a BTEC course in music which might suit Taylor; he jumps at the chance. But she warns him to knuckle down - or he'll be out for good.

Mr McDonnell gives Baz his place back on the school team. Annie texts Emma to say her mum had a baby boy. Baz tries reasoning with Holly and persuades her to have lunch with him. He almost persuades her to give him a second chance, when Emma comes over to tell him about the baby. Baz reacts badly - why wasn't he told earlier? By the time Emma goes, so has Holly!

Dawn catches Andrea selling toilet roll and makes her hand over the profits. In the common room, Taylor clashes with Donnie, a moody, unkempt character whose "big I am" routine winds up the girls. Maddie has another go at Baz; Martin hands her some papers and leaves. The printouts bear the message "Maddie - Our friendship is over!" and she is humiliated as Taylor reads them out.