Poly(N-vinyl caprolactam-co-acrylamide) co-polymers cross-linked with N,N -methylene bisacrylamide loaded with 5-fluorouracil (5-FU) have been investigated for controlled release of 5-FU, an anticancer drug. Microspheres of poly(N-vinyl caprolactam-co-acrylamide) co-polymers cross-linked with N,N -methylene bisacrylamide have been prepared by free radical emulsion polymerization using varying amounts of acrylamide (AAm), N-vinyl caprolactam (VCL) and N,N -methylene bisacrylamide (NNMBA). Particles were produced in the size range of 16-34 µm and 5-FU was encapsulated into these microspheres. The in situ polymerization and release kinetics of drug-loaded microspheres have been investigated in phosphate buffer solution (pH 7.4) at 25 and 37 • C. Scanning electron microscopy (SEM) was used to study the surface morphology of the microspheres. In vitro release data have been affected by varying the co-polymer composition, amount of cross-linking agent and amount of drug loading in the microspheres. Microspheres with different co-polymer compositions were obtained in yields up to 80-85% with encapsulation efficiencies ranging from 69 to 79%. SEM suggested a spherical nature of particles with somewhat rough surfaces. In vitro drug release data indicated that particle size and release kinetics have been influenced by co-polymer composition, amount of cross-linking agent and amount of 5-FU loaded in the microspheres.