Hollyoaks spoilers follow for Monday’s episode (2 June), which is available to watch now on streaming service Channel 4 and hasn’t yet aired on TV.

Hollyoaks has confirmed a major arrest for DI Banks’ murder – but it isn’t who you might think.

In last week’s dramatic episodes, Frankie, Dillon and Vicky fought back against Banks, while involved in a harrowing online auction, and they fired shots at him together.

Meanwhile, Grace came face to face with her sister Clare, who was presumed dead for years, and she realised that her long-lost sibling was the elusive Mrs Banks.

The teen trio panicked and ran away from The Loft in today's episode, just before Dodger and Rex arrived to discover Alistair’s body. They wrongly concluded that Grace had killed him – but Rex secretly noticed that there was a gun still on the floor.

clare devine, hollyoaks
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After explaining to Grace that Alistair had saved her after her accident in 2013, Clare was shocked when her sister said that she didn’t have the missing money.

But viewers know that the huge sum of cash is now in the hands of Diane, who one of DI Banks’ workers had assumed was his wife.

Clare then overheard a conversation between Dodger and Rex and was heartbroken to discover that her husband was dead.

She updated Grace, who learned that her brother had been secretly working with the police. Clare insisted that Grace needed to kill Rex to stop him exposing her crimes.

vicky grant, frankie osborne, dillon ray, hollyoaks
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Elsewhere, Frankie, Dillon and Vicky fled to Misbah’s house, unsure which of them had actually shot Alistair. But their cover-up plan fell apart when they realised that they had left one of the guns in The Loft, with their fingerprints all over.

Rex met up with Grace and accused her of killing Banks. As she prepared to shoot him, Rex said that he was going to take the fall for her, if she promised to give Curtis a better life.

With Alistair’s body discovered by the police, the teens were finally reunited with their loved ones, and they prepared to admit that they were responsible.

rex gallagher, hollyoaks
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But at that moment, Rex arrived with the missing gun and confessed to human trafficking and killing Banks.

As Rex was taken away by the police, and Grace and Clare decided to form a dangerous alliance, what will happen next?

Hollyoaks airs on Mondays-Wednesdays with its Channel 4 streaming premiere at 7am, then an E4 broadcast the same night at 7pm. Full episodes are also released on YouTube a week after their Channel 4 release.

Selected omnibus episodes are available via Prime Video.

Read more Hollyoaks spoilers on our dedicated homepage

Hollyoaks has been working on Dillon and Frankie’s story with guidance from Causeway, which supports people affected by modern slavery and exploitation, as well as their loved ones. You can find more information on its website, and can also contact info@wearecauseway.co.uk or 03333 055 336.