Outside the vicarage, a woman is knitting the wool straight off a sheep's back. Inside, Geraldine and Alice talk, and Alice is shocked to hear that Geraldine does not believe in the Easter Bunny. Later at the parish council meeting, Geraldine discovers that the Dibley Easter Bunny is a long-held tradition, though nobody knows the bunny's identity.
Each member of the council agrees to give something up for Lent: Owen will give up swearing, Mrs Cropley will give up ghastly cooking, Jim will give up dithering, Frank will give up pedantry, and David will be more friendly. Geraldine reluctantly agrees to give up chocolate.
At the vicarage, Geraldine tries to distract herself from thoughts of chocolate until Hugo arrives seeking advice. He flirts shyly with Alice before she goes out to make tea. After talking, they decide that Hugo will give up lustful thoughts for Lent.
At the next meeting, they discuss starting a village video club, funded by the Lent collection box. Later, Alice and Geraldine receive a telephone call from Frank. Mrs Cropley has been taken ill and is asking for Geraldine. They hurry over to find the others congregated at Mrs Cropley's house where she lies dying in bed. Before Mrs Cropley passes away, Geraldine makes her a secret promise. Geraldine tells the others the sad news, and Alice weeps.
After the funeral, the villagers congregate at the vicarage and share memories of Mrs Cropley. Later, Geraldine is making a rabbit costume when David arrives. She hides her rabbit ears and chocolate eggs. David confides his concerns that Hugo is gay, but Geraldine convinces him otherwise and he leaves. Alice catches Geraldine with the chocolate eggs and confronts her, forcing Geraldine to reveal that she has taken over Easter Bunny duty from Mrs Cropley.
On Easter morning, Geraldine delivers eggs round the village, but discovers David doing the same. They turn a corner to find several other villagers in rabbit costumes, exposing Mrs Cropley's death-bed practical joke. Later, Geraldine announces the opening of the video club, and all toast Mrs Cropley's memory.
