The novel is set in the early years of the 19th century. Silas Marner, a weaver, is a member of a small Calvinist congregation in Lantern Yard, a slum street in an unnamed city in Northern England. He is falsely accused of stealing the congregation's funds while watching over the very ill deacon. Two clues are given against Silas: a pocket knife, and the discovery in his own house of the bag formerly containing the money. There is the strong suggestion that Silas' best friend, William Dane, has framed him, since Silas had lent his pocket knife to William shortly before the crime was committed. Silas is proclaimed guilty. The woman Silas was to marry breaks their engagement and later marries William. With his life shattered and his heart broken, Silas leaves Lantern Yard and the city.