After the turbulent times of the 80s, research is presented as evidence of the resurgence in the community's desire for ethical practices to be an integral part of a decision making process. Moral reasoning must be the cornerstone of all decision making for individuals who accept a responsibility to themselves, to the society within which they function, and to the wider world to which all humanity contributes. Given that society is in a continual change, individuals must have for themselves the mechanism for evaluating and managing any changing standards. There is a responsibility to present children who will exist in the unknown environment of the future with the tools which will allow them to consider dilemmas, and then assist them to make rational, creative and moral decisions. A primary school environment is seen as the ideal place to help individuals begin to set their own standards of behaviour. At school, children can no longer rely solely on rules set by parents, but must look towards establishing their own principles of conduct. Educators have a responsibility to present children with curriculum which promotes the ability to think rationally, independently and morally. Existing theories of moral development are examined to determine how moral reasoning skills can best become part of the classroom programme, and, at the same time, assist the learning goals of other curriculum areas. This work investigates a teaching technique which uses philosophical dialogue to explore realistic, or probable, circumstances depicted in picture story books as a means of developing moral reasoning in primary school students. A set of lessons, using the above technique, was compared to a set of lessons which did not contain the element of philosophical dialogue to determine the effectiveness of this style.