Mini, Grace, Franky, Liv, Alo, Rich, Matty, and Nick are on holiday in Morocco--in a crumbling villa with no roof, water, or electricity. While Mini gets together with Alo (demanding that he tells nobody), Franky tells Matty that she wants to end their relationship and she's easily attracted to suave Luke, whose party they crash. She agrees to go off with him, but Liv learns from a local boy that Luke is a notorious drug dealer and has planted 6 kilos of dope in the group's truck. Liv,Grace, and Matty pursue the fleeing couple, but the van crashes. Back at the college Grace is in a coma in hospital while Matty has run away in Morocco.

Blaming the gang for what happened to Grace, her father, Professor Blood, bans her boyfriend Rich from seeing her in hospital, but he manages to sneak in and discover that she has awakened but is being moved to a hospital in Zurich. After the Bloods have left for Switzerland, Rich moves into their house and, to the near detriment of his friendship with Alo, becomes obsessive,sleeping in Grace's bed and watching her old home-movies. However, when Professor Blood comes home he tells Rich that Grace died in hospital in Zurich without recovering--Rich's recent conversation with her was only a fantasy.

Alex, a boy who lives with and cares for his eccentric grandmother Miriam in his father's absence, lives by responding to the roll of a die, which is how he decides to punch Alo. But he intrigues Liv, who joins him in his die-rolling activities after meeting Miriam, who likes her. The others are less impressed, especially Mini, who accuses Liv of spending too much time with Alex. After Grace's emotional funeral, Alex comforts Liv, but she's newly upset when he says he's gay and uninterested in her as a girlfriend. Reconciliation of a sort comes when Alex gathers everybody together on a boat he has hired to give Miriam, who has just died and was a sailor's widow, a burial at sea.

Conscious that she indirectly caused Grace's death and unable to concentrate on her mock exams, Franky feels alienated from her friends and smothered by her well-intentioned gay dads, so when drug-pusher Luke reappears, she finds herself drawn to his violent lifestyle; some of it even rubs off on her at home. Counseling is no help, and when Nick tries to intervene when Luke starts another fight and ends up getting hurt, Frank almost relishes it. But after snorting cocaine before enforced sex with Luke, she realizes what a brute he is and is ultimately reconciled with her dads and Nick.

Angry at Alo for declaring his love for her and at her mother Shelley for moving her tubby, sex-mad boyfriend Eric into the house, Mini also discovers that she is pregnant and contacts her high-flying but absent father Gregory, staying in his riverside apartment and contemplating going to Australia with him although people tell her he'll let her down. Her college friends gate-crash Gregory's party and Alo gets thrown out after accusing Gregory's assistant Ryan of having sex with Mini. She confides her situation in Franky, who advises her to tell Gregory but, never one for responsibility, he leaves for Australia without her, leaving her a cheque for 500 pounds. Alo also rejects her, calling her too callous to be capable of love, but unexpected consolation comes from Eric, who reconciles her with Shelley, after which Franky takes her to an ultrasound clinic, where she weeps tears of joy on seeing her unborn baby.

Nick gets a Skype message from Matty in Morocco, telling him to go to a seedy club and ask for 'The Doctor,' a sinister Russian who will smuggle him back to England on a fake German passport for 2,000 pounds. Encountering hostility from his peers who blame Matty for Grace's death, Nick steals the money from his father's bank account but the Doctor cheats him and beats him up. Although she has accused him of being always in his brother's shadow and seen him kissing others, Franky offers a thousand pounds which she says is 'an inheritance' but Nick declares the deal off. However, the pair finally admit to their mutual feelings for each other and have sex; while Nick is in the bathroom afterwards, Franky sees a Skype message from Matty but switches the computer off without answering.

Tired of Mini's inconsistent attitude and unaware of her pregnancy, Alo quickly falls for vivacious Poppy, whom he meets at a fancy-dress party; they have consensual sex in her house and escape being caught by her argumentative parents. But Alo is shocked to find that Poppy is only 13 and soon he's arrested for assaulting a minor, suspended from college, and ostracized by his former friends. AT least it brings him closer to Mini and they have a heart-to-heart. She is about to tell him that she is pregnant when Poppy rings to say that she and her mother have persuaded her father to drop the charges against him.

Seeing Alex as her only close friend, Liv is upset when he goes away for a weekend; to make things worse, she feels a pain in her side and sees a lump, but she confides only in Principal Doug, who tells her he's leaving the college. Rich is too busy revising and attempts to get through to Franky, whom Liv still blames for Grace's death, and Mini comes to nothing. When Matty returns from Morocco, Liv takes him to see Franky but she has no desire to speak to him and another confrontation with Mini leads to a fight and Mini crying out that she is pregnant. A shocked Liv once more feels the pain in her side but a visit to the doctor proves that there is no lump: it was a psychosomatic reaction to Grace's death. Feeling better, Liv visits Grace's grave with her younger sister Maude, Doug, and Rich, and they end up dancing.

Mini collapses and is rushed to hospital. Both Nick and Matty show up and start fighting, but Franky refuses to call the police to have Matty arrested. With Alo making it clear he does not want a baby and Shelley trying to persuade her to give the child up for adoption a pressurised Mini runs off, staying the night at a squat with Franky, who tries to talk her into moving to Oxford. However, Eric persuades her to go home where, after a heart-to-heart, Shelley accepts that she should keep her baby. Franky, who has overheard, is angry and tearful and rushes out of the house. Later, Mini and Alo are kissing at Alo's farm when she sees blood trickling down her leg.

Mini is rushed to hospital but the baby is saved. As the exam results come through and Alex gets ready to spend his gap year in Thailand, Matty apologises to Rich for causing Grace's death. Franky heads for Birmingham to seek out her mother but is told that she is dead by her sister Clara, who returns her to Bristol. At Alex's farewell party Liv makes up with the other girls and Grace appears to Rich for one last kiss. Clara tells Franky that their mother is actually in a psychiatric hospital and takes her to visit. Nick accompanies Matty to the police station to give himself up and Mini has her baby, with Alo offering to support her. Hearing the baby cry Rich turns to the camera to say goodbye to the viewers.