This research focused on the effect that virtual reality has on the user through the analysis of their physiological responses. The virtual environment is focused around colour and how they can affect us physically. By replicating Mikellides 1990s experiment on colour arousal but replacing the setting of the experiment from a real room to a virtual environment while monitoring participants physiological responses, comparisons with the original experiment were made. Since both results were relatively equal virtual realities use as a tool to create reactions similar to reality was supported. Further expansion on the original experiment was made to test Mikellides conclusion that colour saturation has a higher arousal rate than colour hue, by adding more colours at full saturation and half saturation as well as at different hues. The results did not show a large margin of distinction between the hues and the saturation levels although high saturation colours had a marginally higher arousal rate. Although this research tested stark changes in environment, it has proven that they have an effect on physiological signals. Further development could lead to clients and end users reactions of real designs being analysed early in the process rather than relying on post occupation surveys.