Wendy and her brothers are whisked away to the magical world of Neverland with the hero of their stories, Peter Pan. An adaptation of J. M. Barrie's story about a boy who never grew up. The three children of the Darling family receive a visit from Peter Pan, who takes them to Never Land, where an ongoing war between Peter's gang of rag-tag runaways and the evil Pirate Captain Hook is taking place.

In London during World War II, this is the story of Wendy's daughter, Jane, who is kidnapped by Captain Hook and Peter Pan must come to the rescue. - The classic tale of "Peter Pan" continues in Disney's sequel "Return to Never Land". In 1940 on a world besieged by World War II, Wendy, now grown up, has two children, one of them is her daughter, Jane. She wears her trench coat during the air raid, and later that night, Wendy tries to give her own children hope by telling them of her magical experiences with Peter Pan in Never Land. However, Jane, Wendy's daughter, sees it all as make believe and refuses to believe in the tales. That is, until the villainous Captain Hook mistakes her for Wendy and abducts her to Never Land in an attempt to lure and capture Peter Pan. Peter Pan's quest to return Jane safely home is jeopardized until she can begin to believe in the magic of imagination.