This demo features FearNot!, a school-based Virtual Learning Environment (VLE) populated by synthetic characters representing the various actors in a bullying scenario. FearNot! uses emergent narrative to create improvised dramas with those characters. The goal is to enable children to explore bullying issues, and coping strategies, interacting with characters to which they become affectively engaged. Through their appearance, behaviours and affect, these characters are able to trigger empathic relations with the user. FearNot! is used for Personal and Health Social Education (PHSE) for children aged 8–12, in the UK, Portugal and Germany.