Polymerization of styrene in microemulsion was carried out using an oil-in-water system and sodium dodecylsulphate surfactant. The oil/surfactant ratio was observed to be 1 : 1.8 at 30°C. However, systems containing more than 5% w/w styrene in microemulsion turned into emulsion. Use of styrene - 2-hydroxyethyImethacrylate (2-HEMA) mixture could overcome this problem where 2-HEMA acts as polymerizable cosurfactant. Various conditions such as type and concentration of initiatiors, temperature were optimized for polymerization of styrene using SDS and 2-HEMA as surfactant and cosurfactant respectively. The products synthesised at optimized conditions were characterized by IR, NMR and dynamic light scattering. The rate of polymerization was also calculated.