The Minister is appalled when, on the advice of his civil servants, he can't make a modest 5% to his department's budget. To Sir Humphrey's great disbelief, the Minister decides to recommend only those civil servants for the Queen's honors list who can find the 5% cut in their budgets. On another matter, Appleby is approached by the Master of his Oxford college who is finding it impossible to enroll students now that the Minister has instructed that all foreign students must pay the full cost of their studies. Hoping for an exemption from the requirement, they invite the Minister to an alcohol-fueled dinner and the promise of an honorary Doctor of Laws seems to do the trick.