Waterloo Sunset

Ray carried the melody for two or three years before writing it. The first title was "Liverpool Sunset". Later he called it a fantasy about his sister going off with her boyfriend to a new world. It was his first Kinks recording produced alone, cut on 3, 10 and 13 April 1967 at Pye Studios. The single came out on 5 May 1967 with "Act Nice and Gentle" on the other side. It reached number two in Britain and number one in the Netherlands.

Rolling Stone placed it at number 14 in its 2021 list of the greatest songs. Cathy Dennis took it to number 11 in Britain in 1997, and the Jam, Def Leppard, Elliott Smith and David Bowie have also covered it. Ray played it at the 2012 London Olympics closing ceremony, and a reissue then reached number 47. Setlist.fm logs 138 performances.