EastEnders has aired an unexpected twist involving Nicola Mitchell, in the show’s latest episode.

Since her arrival in Walford this week, Nicola has already made quite a stir. In yesterday’s episode, she

encouraged son Harry to go to the police with the incriminating evidence he has against Jack, who he has

been blackmailing.

In today’s episode, Callum asked Jack to come to the police station about a serious allegation, as Nicola watched on. She and Harry were happy, but Teddy was adamant that they should never have anything to do with the police.

Honey invited Teddy for lunch with her and Billy to have a catch-up, and she found out that his ex-wife was in Walford.

She then ran into Nicola herself, who was concerned to see her and Teddy leaving the house together. Honey revealed to her that Teddy has a brother and invited her along to the lunch.

Meanwhile, Jack returned to Albert Square and was furious with Penny, explaining that he had been suspended pending an investigation.

Over lunch, Nicola and Teddy had a tense exchange and he ended up revealing to Honey and Billy that Nicola had previously been in prison.

But as the divorced couple told the story of how they first met, it became clear that they could still be feelings between Teddy and Nicola.

When Honey asked about where Nicola was living, she asked Teddy about staying in the empty basement in his house. Teddy initially refused but reluctantly agreed to let her move in.

Back home, Teddy and Nicola argued, with Teddy threatening to put a freezing order on their divorce settlement, stopping Nicola from getting the money.

Teddy then took a call from Phil about signing the paperwork for the Peggy’s sale, and Nicola got an idea. She cornered Phil in the pub and had a proposition for him.

Later, Teddy and Sharon arrived at Peggy’s to find Phil and Nicola already there. He revealed that Nicola had made him a better offer, with the money from the divorce settlement, and that she was the new owner of Peggy’s.

With Nicola officially staying in Walford, how will Teddy react?