Colchester finished sixth in the league table come the end of the season, but were nine points distant of promoted Port Vale in fourth place.
Despite a win against Southend United in the Associate Members' Cup, Colchester were defeated by Northampton Town who progressed from the group stages to the knockout phase of the competition.
Manager Cyril Lea continued a trend of recruiting former Ipswich Town by bringing in forwards Robin Turner and Trevor Whymark during the season.
Lea struggled to find a strike partner for Tony Adcock following a car crash that ended Keith Bowen's playing career.
The side were otherwise free scoring, and despite a good record, Lea was sacked three weeks ahead of the end of the campaign and replaced by Reserve team coach Mike Walker.