American single mother Ann Lake (Carol Lynley), who recently moved to London from New York, arrives at the Little People's Garden preschool to collect her daughter, Bunny. The child has mysteriously disappeared. An administrator recalls meeting with Ann but claims never to have seen the missing child. Ann and her brother Steven (Keir Dullea) search the school and find a sinister woman living upstairs, who claims she collects children's nightmares. In desperation, the Lakes call the police and Superintendent Newhouse (Laurence Olivier) arrives on the scene.
They find that all of Bunny's possessions have been removed from the Lakes' home. Ann cannot understand why anyone would do this and reacts emotionally. Superintendent Newhouse begins to suspect that Bunny Lake does not exist after he learns that "Bunny" was the name of Ann's imaginary childhood friend. Ann's landlord (NoÃ«l Coward), an aging actor, attempts to seduce her. Newhouse decides to become better acquainted with Ann in order to learn more about Bunny. He takes her to a local bar where he plies her with brandy.
Ann discovers she still has the claim ticket for Bunny's doll, which was taken to a doll hospital for repairs. Regarding the doll as proof of Bunny's existence, she frantically rushes to the doll hospital late at night and retrieves the doll. Steven knocks out Ann and burns the doll. He takes Ann to a hospital and tells the desk nurse that Ann has been hallucinating about a missing girl who does not exist. Ann is sedated and put under observation.
Later, Ann wakes and escapes from the hospital. She discovers Steven burying Bunny's possessions; he has bound and sedated the child and hidden her in the boot of his car. Steven implies an incestuous interest in his sister and complains that Bunny has always come between them; because he believes Ann loves Bunny more than him, the child threatens Steven's dream of a future with Ann. Realizing that her brother is mad, Ann plays childhood games with him to distract him.[2][3] Newhouse, having discovered that Steven had lied to the police about the ship that brought the Lakes to England, arrives in time to rescue Ann and Bunny, and apprehend Steven.
What does Ann do with Steven to distract him from the fact that he is mad?
plays childhood games