The novel is set in the Ramsays' summer home in the Hebrides, on the Isle of Skye. The section begins with Mrs Ramsay assuring her son James that they should be able to visit the lighthouse on the next day. This prediction is denied by Mr Ramsay, who voices his certainty that the weather will not be clear, an opinion that forces a certain tension between Mr and Mrs Ramsay, and also between Mr Ramsay and James. This particular incident is referred to on various occasions throughout the section, especially in the context of Mr and Mrs Ramsay's relationship.

The Ramsays and their eight children have been joined at the house by a number of friends and colleagues. One of them, Lily Briscoe, begins the novel as a young, uncertain painter attempting a portrait of Mrs. Ramsay and James. Briscoe finds herself plagued by doubts throughout the novel, doubts largely fed by the claims of Charles Tansley, another guest, who asserts that women can neither paint nor write. Tansley himself is an admirer of Mr Ramsay, a philosophy professor, and his academic treatises.