Kyle and Evie Preston had always been told stories by their grandmother about battling giants who trapped the last of the world's fairies underground many thousands of years ago. When their grandmother dies, they inherit a family house overseas and discover an old gold mine in the grounds. The children soon realise that the old lady's fairy tales weren't stories after all and that, if not freed from the gloomy mine, the fairies will be lost from the world forever. When their father (Corbin Bernsen) is taken seriously ill, a frantic struggle ensures to free the fairies and try to cure him with their magic. Unfortunately, the children are hampered by the fears of their mother (Glynis Barber) about the mine and by hostility from the local community, particularly from Ian the caretaker (Malcolm McDowell).
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