Complex sentence: The tale differs significantly from "Peter Rabbit" in that the characters in that the squirrels live in their accurately drawn natural habitat, but Nutkin dances on his hind legs while the other characters behave like real animals.
Split into simpler sentences: The tale differs significantly from "Peter Rabbit" in that the characters. The squirrels live in their accurately drawn natural habitat, but Nutkin dances on his hind legs while the other characters behave like real animals.