This article discusses the value of virtual reality (VR) technology in paediatric rehabilitation therapy, which can create immersive, interactive and imaginative virtual environments and provide children with safe and interesting therapeutic modalities to effectively improve their cognitive, motor, speech and emotional problems. The article analyses the application of VR technology in different scenarios, such as attention training, motor training, verbal expression training and emotion recognition training, and points out that the advantages of VR technology are to increase the interest of treatment, enhance the patient's participation, and achieve personalised treatment. However, VR technology also has challenges such as technical limitations, evaluation difficulties and high equipment costs. With the continuous development and improvement of the technology, VR technology is expected to overcome these challenges and play a greater role in the field of children's rehabilitation therapy, bringing hope for the rehabilitation of more children.