The film's opening credits end with the words "dedicated to the memory of", with an image of Second World War British food and clothing ration coupons.

In post-Second World War London, an unexploded bomb detonates in Miramont Gardens, Pimlico. The explosion reveals a buried cellar containing artwork, coins, jewellery and an ancient manuscript. The document is authenticated by the historian Professor Hatton-Jones as a royal charter of Edward IV that ceded a house and its estates to Charles VII, the last Duke of Burgundy, when he sought refuge there after being presumed dead at the 1477 Battle of Nancy. As the charter had never been revoked, an area of Pimlico is declared to still be a legal part of Burgundy.

As the British government has no legal jurisdiction, it requires the local residents to form a representative committee according to the laws of the long-defunct dukedom before negotiating with them. Ancient Burgundian law requires that the Duke himself appoint a council. Sébastien de Charolais arrives and presents his claim to the title, which is verified by Professor Hatton-Jones. He forms the governing body which includes the local policeman, Spiller, and the manager of the bank branch, Mr. Wix; the neighbourhood shop keeper, Arthur Pemberton, is appointed as Burgundy's Prime Minister. The council begin discussions with the government, particularly about the Burgundian treasure.

After the new Burgundians realise they are not subject to post-war rationing or other bureaucratic restrictions, the district is quickly flooded with black marketeers and shoppers; Spiller is unable to handle the rising problems by himself. In response, the British authorities surround the Burgundian territory with barbed wire. The residents retaliate against what they see as heavy-handed bureaucratic action; they stop a London Underground train as it passes through Burgundy, and ask to see passports of all passengers: those without documents are unable to proceed.

The British government retaliates by breaking off negotiations, and Burgundy is isolated; the residents are invited to "emigrate" to England, but few leave. Power, water and deliveries of food are all cut off at the border by the British. Late one night, the Burgundians covertly connect a hose to a nearby British water main, which fills a bomb crater, solving the water problem, but this floods the food store. Unable to overcome this new problem, the Burgundians prepare to give up. Sympathetic Londoners begin to throw food parcels across the barrier, and soon others join in; the Burgundians have an ample supply, and decide to stay. A helicopter pumps milk through a hose and pigs are parachuted into the area.

Meanwhile, the British government comes under public pressure to resolve the problem. It becomes clear to the British diplomats assigned to find a solution that defeating the Burgundians through starvation is both difficult and unpopular with the British people, so they negotiate. The sticking point turns out to be the disposition of the unearthed treasure. Wix, now the Burgundian Chancellor of the Exchequer, suggests a Burgundian loan of the treasure to Britain. With the final piece of the deadlock eliminated, Burgundy reunites with Britain, which also sees the return of rationing for food and clothing to the area. The celebratory outdoor banquet is interrupted by heavy rain.
================================================================

== osoby ==			== profese ==
	Michael Balcon		Producent

cena	festival	ročník	osoba	nominace/cena
Nejlepší britský film	BAFTA	3 (1949)	Michael Balcon	nominace