Mountjoy wins a jousting tournament. Essex challenges him to a duel and is wounded. The queen scolds the men for their jealousy. Cecil informs the queen of an affair between Penelope and Mountjoy. Essex woos the queen on the lute, and gains permission to attack the Irish rebel Tyrone. The queen prays for strength.
A masque is given in the queen's honor. Mountjoy and Penelope have a tryst in the garden. Essex denounces the queen for thwarting his military plans. The courtiers dance a set of five "Courtly Dances" during which dancers are thrown into the air by their partners. The ladies retire. To punish Lady Essex for wearing too fancy a dress, the queen wears it herself. Essex is appointed Lord Deputy of Ireland.
Essex arranges a truce with Tyrone. He bursts into the queen's dressing room to give her the news. The queen is dressing, and orders his arrest for such insolence. He escapes and tries to raise an army against the queen. He is captured and condemned. Cecil believes the queen will pardon Essex. Penelope, Lady Essex, and Mountjoy all support the pardon, but this only stiffens the queen's resolve, and she signs his death warrant. The queen wants to be a wise ruler as she faces her own mortality.