The town of Cranford is in a flurry at the arrival of a new handsome doctor. His controversial treatment of an unfortunate carpenter is risky not only for the patient, but also his reputation. Elsewhere a family suffers a loss but forges a friendship.

An unexpected visitor shakes miss Matty, but she keeps it to herself. The rumor that the railway will reach the town ruins the happy atmosphere. When Miss Deborah goes to talk to Captain Brown of this, he is of no help, indeed their friendship is severely strained.

The theft of a leg of mutton starts a chain of events that can only lead to trouble for one family in Cranford. With Christmas comes an invitation for Miss Matty, that she is encouraged to accept. Dr Harrison's friend Jack persuades him to declare his affections for Sophy, but then plays a cruel trick.

Miss Matty suffers a disappointment, and reveals to Mary the great wrong done her as a young woman. Mary writes to Major Gordon about Jessie's changed circumstances. And Dr Harrison pays a formal visit to the rectory.

Jem and Martha formalise their relationship, and live as lodgers with Miss Matty, who has fallen on hard times. Will her friends come to her aid and will she accept help? Dr Harrison is advised to leave town due to his reputation being in tatters, but Sophy is ill and his modern medicine could help. Lady Ludlow is prepared to lose everything for her absent son, but Mr Carter tries to find another solution.

It's August 1844 and Miss Matty knows only too well that faces will always come and go in Cranford, but for now she is happy that her dear brother, Peter is home from India and that Martha, Jem and baby Tilly make for a lively household. Lady Ludlow is awaiting the return of her son, Septimus, and young Harry Gregson is about to start his education at Shrewsbury, benefiting from the moral support of Miss Galindo. Then there's news that wealthy widower, Mr Buxton has returned to live in Cranford, bringing with him his charming ward, Erminia and his handsome Eton-educated son, William. Whilst at nearby Thorn Cottage, Peggy Bell tries to make the best of things caring for her mother and brother Edward. Elsewhere, the world continues to change, but for now the railway has stopped five miles outside Cranford in spite of the efforts Captain Brown. All too soon life in Cranford will change in some very unexpected ways.

Everyone is overjoyed at the news that William Buxton and Peggy Bell are to be married - except it all comes as news to the elder Mr. Buxton who thinks his son is marrying beneath himself. With few choices left to him, William decides he will have to make his own fortune and begins working on the railroad with Mr. Brown. The ladies of the village are somewhat taken aback when Mrs. Jamieson announces that her sister-in-law, Lady Glenmire, will be visiting but then fails to invite anyone to meet her. It becomes known that Mrs. Jamieson thinks they are all beneath her Ladyship. Mr. Buxton has agreed to sell the railroad a small parcel of land they require in order to build the railroad to Cranford and puts the sale in the hands of Edward Bell. He thinks highly of the young man but he is to be deceived when not only does Edward cheat Mr. Buxton on the purchase price, he uses the deeds to the land to cover his own debts. Peggy soon faces the prospect of accompanying her brother to Canada where he hopes to start a new life. A series of unforeseen circumstances, including a cataclysmic accident, will bring all plans to a grinding halt.