Scott Hastings is the frustrated son of a family of ballroom dancers, who has been training since childhood. His mother Shirley teaches ballroom dancing, and his father Doug meekly handles maintenance chores at the dance studio, while secretly spending hours in a back room watching old footage of his bygone dance competitions. Scott struggles to establish his personal style of dance on his way to win the Pan-Pacific Grand Prix Dancing Championship, but his innovative and flashy steps are not considered "strictly ballroom", and as such are denounced by Australian Federation head Barry Fife.
Scott loses a competition because he started dancing his own steps, and his dancing partner Liz Holt leaves him to team up with Ken Railings, whose partner Pam Short has broken both her legs in a car accident (as just previously wished upon by Liz). With Scott now alone only three weeks until the championships, Shirley and her co-instructor at the studio, Les Kendall, embark on a desperate hunt for a new partner for Scott. Meanwhile, unbeknownst to both Shirley and Les, Scott is approached by Fran, an overlooked "beginner" dancer at the studio. Scott eventually agrees to partner with Fran, intrigued by her willingness to dance "his way".
The pairing faces its first challenge when Fife, in an effort to pull Scott into line and prevent him from threatening the Dancesport status quo, arranges for Scott to become the new partner of Tina Sparkle, an established Champion dancer. When Shirley and Les hear the news, they are overjoyed; Fran, happening upon them exclaiming over their happiness about Scott's new dance partner, misunderstands initially and believes they have discovered that she and Scott have become partners. When she realises the truth, she leaves, devastated. Scott chases after her and, although she is hurt, he entices her to dance backstage with him, and her anger is forgotten. However, their dance is witnessed by several onlookers, among them Shirley and Les, who then do everything they can to persuade both Scott and Fran that the best way forward for all concerned is for Scott to forget about Fran and sign on as Tina Sparkle's partner.
Fran, accused of damaging Scott's chances, reluctantly accedes and returns home crestfallen. Scott argues with his mother, telling her and all he won't be manipulated, so he won't become Tina's partner. He follows Fran home, where he is discovered and challenged by Fran's overprotective Spanish father. Scott, to appease the father, proposes that they dance a Paso Doble for the assembled company. Fran's father and grandmother demonstrate how the Paso Doble should be danced, and offer to teach the youngsters.
Fran and Scott spend the next week training, supported by her family. However, Fife intervenes, telling Scott that Scott's father, Doug, ruined his career by dancing his own steps too, which he's regretted ever since. Not wanting to cause his parents further heartache, Scott reteams with Liz to attempt to win the Pan-Pacific.
During the competition, Doug explains to Scott that Fife lied; he had convinced Shirley not to dance with him so he, Fife, could win the competition. It is also revealed that Fife is plotting to sabotage Scott in favor of audience favorite Ken. Scott runs after Fran and persuades her to dance with him.
In the next round, Scott and Fran make their own dramatic entrance and begin dancing, immediately riveting the audience. Fife tries to disqualify them, but Scott's friend Wayne Burns, having overheard Fife's treachery, disconnects the PA system, allowing Scott and Fran to dance a Paso Doble routine that wins the audience over. Desperate, Fife tries to turn off the music, but Scott's sister Kylie and her partner Luke interfere until Fife's girlfriend Charm Leachman disconnects the sound system. Fife then disqualifies Scott and Fran, but Doug begins clapping out a beat to enable Scott and Fran to continue dancing. The audience claps along, as Scott and Fran begin dancing again. Liz restores the music, and Scott and Fran's spirited dancing brings down the house. Doug asks Shirley to dance with him and the whole audience joins them on the floor. As the performance finishes, Scott and Fran kiss, the competition forgotten.
Paul Mercurio as Scott Hastings
Tara Morice as Fran
Bill Hunter as Barry Fife
Pat Thomson as Shirley Hastings
Gia Carides as Liz Holt
Peter Whitford as Les Kendall
Barry Otto as Doug Hastings
John Hannan as Ken Railings
Sonia Kruger as Tina Sparkle
Kris McQuade as Charm Leachman
Pip Mushin as Wayne Burns
Leonie Page as Vanessa Cronin
Antonio Vargas as Rico, Fran's father
Armonia Benedito as Ya Ya, Fran's grandmother
Jack Webster as Terry
Lauren Hewett as Kylie Hastings
Steve Grace as Luke, Kylie's dance partner
Kerry Shrimpton as Pam Short