Eight-year old Julius lives at an orphanage. Julius is a bit of an outsider, and secretly still believes in Santa Claus. When he is confronted with the fact that Santa Claus may just be the headmaster of the orphanage dressing up, Julius loses not only his belief in Santa - also his belief in himself. But then something strange happens, and suddenly Julius finds himself in a magic world.

At Santa Claus School, the principal has called a meeting. Lucia, her parents Julius and Claudia and everyone else at school are excited. But the tension is replaced by a shock when the headmaster cancels Christmas. He seems confused, and it soon becomes clear that he is trapped in a Christmas trauma from his younger days as Santa Claus. Lucia sets out to find out what has happened and with the help of the younger student Elias and a magical time machine, she travels back in time in the hope of saving Christmas.