The VC didn't have relevance to them when they were children. Growing up, their friends and neighbours were in awe, but to his children, it meant little. They'd rather have had their father instead of a VC medal. Later on they became more proud but the loss remained. Now, it is different, possibly because they are older and don't need a father as they did then. Now the feeling is one of immense pride.
Summary
I'd rather he didn't do what he did, but was here and we didn't have a medal