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As the council election approaches, Elizabeth, equally disapproving of her husband's interest in the Manchester Ship Canal and his rival Beaumont's plan to enrich himself with his 'new' Liverpool, ensures that each hears of, and publicizes, the other's plan so that both lose the election to her candidate, Marcus Simmons. Daniel then announces that he will be standing as a Manchester M.P. James, stuck in Ireland thanks to port inspectors with vested interests, finally returns to Liverpool for the birth of his son, though the child is weak and is not expected to survive.
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