The Carnegie Library of Pittsburgh has some wonderful online resources for kids, and their parents and educators. There are lots of book lists, and suggestions for child-friendly resources on other sites. There are links to games that seem like fun with Bob the Builder, Angelina Ballerina, Clifford and more.
My favourite part of the site is My Story Maker. It has a simple and intuitive interface where kids choose a setting, some characters and props, and then start typing their story. It was a little clunky - each page would only allow a set number of words and you had to turn the page mid sentence - but a lot of fun. These sorts of story makers are great for prompting creative writing and encouraging kids to think sequentially. This one even suggests sentences based on props you provide for your character. I also liked that the site gave me the opportunity to print my story or to save it. You can see part of my story at the top of this post.
Kids as young as five could handle My Story Maker, with a little help for the text. It's cuteness and simplicity might annoy sophisticates but this Book Chook had a lovely time! Thank you Carnegie Library for your generosity and encouragement of literacy.
If you're interested in helping kids write stories, you might like to read these Book Chook articles about online editors like Storyjumper, Storybird, Little Bird Tales, and Bookr. Find more ideas in Book Chook Favourites - Playing with Words and Pictures, Use Images to Start Kids Thinking and Visual Story Telling.