The article explores the potenztialfor developing a concept of administrative culture and identifying its contribution to policy-making within central government. It takes the case of the DOE and analyses the influence offunction, clientele, resources and history on culture. It goes on to argue that this culture is functional anld that the policies of recent Conservative Governments, especially in the area of urban policy, which have cut across such norms, hlave encountered administrative opposition and a predictable implementation deficit. Examples are drawn from judicial judgements on housing and local governmenit finance. The article concludes thlat the administrative culture of the DOE impedes urbani policy but retainis some laudable features.