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The aim of this article is to study the development of Basque L2 by Spanish L1 children who attend school in a total immersion programme where Basque is the vehicular language. Narratives based on an adult model produced at ages 5 and 8 are analysed in order to better understand the acquisition process of Basque L2 in an immersion school context. Basque L1 children who are also educated in Basque from preschool age constitute a reference group. The same subjects participate in the research at both ages, which gives a longitudinal as well as a cross-sectional approach to the study. The degree of narrative autonomy, the organisation of the narrative structure and features of nominal and verbal cohesion and some metalinguistic strategies are analysed. The results show similar skills in both groups, and the differences are not always in favour of the L1 subjects. On the whole, L2 subjects seem to reproduce the adult model more closely. This study contributes to a better understanding of L2 development in a school context, focussing on the positive effects of Basque immersion programmes. [ABSTRACT FROM PUBLISHER]