Desmond Doyle is devastated when his wife abandons their family on the day after Christmas. His unemployment, and the fact that there is no woman in the house to care for the children—Evelyn, Dermot and Maurice—make it clear to the authorities this is an untenable situation. The Catholic Church and the Irish courts decide to put the Doyle children into Church-run orphanages.

Based on the best selling autobiography by Irish expat Frank McCourt, Angela's Ashes follows the experiences of young Frankie and his family as they try against all odds to escape the poverty endemic in the slums of pre-war Limerick. The film opens with the family in Brooklyn, but following the death of one of Frankie's siblings, they return home, only to find the situation there even worse. Prejudice against Frankie's Northern Irish father makes his search for employment in the Republic difficult despite his having fought for the IRA, and when he does find money, he spends the money on drink.