diff --git a/src/calibre/ebooks/docx/writer/TODO b/src/calibre/ebooks/docx/writer/TODO
index 0bff135431..36b7677104 100644
--- a/src/calibre/ebooks/docx/writer/TODO
+++ b/src/calibre/ebooks/docx/writer/TODO
@@ -2,9 +2,7 @@ Table of Contents
 Links
 <hr> tag (probably as an empty block with a border)
 Various TODOs sprinkled through the source
-Tables
 Lists
 Cover image
 RTL text
 Lang support in run styles <w:lang>
-Dropcaps (in general floating display=inline elements)
diff --git a/src/calibre/ebooks/docx/writer/from_html.py b/src/calibre/ebooks/docx/writer/from_html.py
index 6929e445bf..a71371391b 100644
--- a/src/calibre/ebooks/docx/writer/from_html.py
+++ b/src/calibre/ebooks/docx/writer/from_html.py
@@ -9,7 +9,7 @@ __copyright__ = '2013, Kovid Goyal <kovid at kovidgoyal.net>'
 import re
 
 from calibre.ebooks.docx.writer.container import create_skeleton
-from calibre.ebooks.docx.writer.styles import StylesManager
+from calibre.ebooks.docx.writer.styles import StylesManager, FloatSpec
 from calibre.ebooks.docx.writer.images import ImagesManager
 from calibre.ebooks.docx.writer.fonts import FontsManager
 from calibre.ebooks.docx.writer.tables import Table
@@ -40,7 +40,6 @@ class Stylizer(Sz):
         except KeyError:
             return Style(element, self)
 
-
 class TextRun(object):
 
     ws_pat = None
@@ -85,6 +84,9 @@ class TextRun(object):
                 if preserve_whitespace:
                     t.set('{http://www.w3.org/XML/1998/namespace}space', 'preserve')
 
+    def __repr__(self):
+        return repr(self.texts)
+
     def is_empty(self):
         if not self.texts:
             return True
@@ -94,15 +96,26 @@ class TextRun(object):
 
 class Block(object):
 
-    def __init__(self, namespace, styles_manager, html_block, style, is_table_cell=False):
+    def __init__(self, namespace, styles_manager, html_block, style, is_table_cell=False, float_spec=None):
         self.namespace = namespace
+        self.parent_items = None
         self.html_block = html_block
+        self.float_spec = float_spec
+        if float_spec is not None:
+            float_spec.blocks.append(self)
         self.html_style = style
         self.style = styles_manager.create_block_style(style, html_block, is_table_cell=is_table_cell)
         self.styles_manager = styles_manager
         self.keep_next = False
         self.page_break_before = False
         self.runs = []
+        self.skipped = False
+
+    def resolve_skipped(self, next_block):
+        if not self.is_empty():
+            return
+        if len(self.html_block) > 0 and self.html_block[0] is next_block.html_block:
+            self.skipped = True
 
     def add_text(self, text, style, ignore_leading_whitespace=False, html_parent=None, is_parent_style=False):
         ts = self.styles_manager.create_text_style(style, is_parent_style=is_parent_style)
@@ -146,10 +159,15 @@ class Block(object):
             makeelement(ppr, 'w:keepNext')
         if self.page_break_before:
             makeelement(ppr, 'w:pageBreakBefore')
+        if self.float_spec is not None:
+            self.float_spec.serialize(self, ppr)
         makeelement(ppr, 'w:pStyle', w_val=self.style.id)
         for run in self.runs:
             run.serialize(p)
 
+    def __repr__(self):
+        return 'Block(%r)' % self.runs
+
     def is_empty(self):
         for run in self.runs:
             if not run.is_empty():
@@ -180,11 +198,12 @@ class Blocks(object):
             else:
                 self.block_map[self.current_block] = len(self.items)
                 self.items.append(self.current_block)
+                self.current_block.parent_items = self.items
         self.current_block = None
 
-    def start_new_block(self, html_block, style, is_table_cell=False):
+    def start_new_block(self, html_block, style, is_table_cell=False, float_spec=None):
         self.end_current_block()
-        self.current_block = Block(self.namespace, self.styles_manager, html_block, style, is_table_cell=is_table_cell)
+        self.current_block = Block(self.namespace, self.styles_manager, html_block, style, is_table_cell=is_table_cell, float_spec=float_spec)
         self.open_html_blocks.add(html_block)
         return self.current_block
 
@@ -224,6 +243,19 @@ class Blocks(object):
         for item in self.items:
             item.serialize(body)
 
+    def delete_block_at(self, pos=None):
+        pos = self.pos if pos is None else pos
+        block = self.all_blocks[pos]
+        del self.all_blocks[pos]
+        if self.block_map:
+            del self.items[self.block_map.pop(block)]
+        else:
+            items = self.items if block.parent_items is None else block.parent_items
+            items.remove(block)
+        block.parent_items = None
+        if block.float_spec is not None:
+            block.float_spec.blocks.remove(block)
+
     def __enter__(self):
         self.pos = len(self.all_blocks)
         self.block_map = {}
@@ -235,12 +267,11 @@ class Blocks(object):
         if len(self.all_blocks) > self.pos and self.all_blocks[self.pos].is_empty():
             # Delete the empty block corresponding to the <body> tag when the
             # body tag has no inline content before its first sub-block
-            block = self.all_blocks[self.pos]
-            del self.all_blocks[self.pos]
-            del self.items[self.block_map.pop(block)]
+            self.delete_block_at(self.pos)
         if self.pos > 0 and self.pos < len(self.all_blocks):
             # Insert a page break corresponding to the start of the html file
             self.all_blocks[self.pos].page_break_before = True
+        self.block_map = {}
 
 class Convert(object):
 
@@ -261,7 +292,20 @@ class Convert(object):
         for item in self.oeb.spine:
             self.process_item(item)
 
-        self.styles_manager.finalize(self.blocks.all_blocks)
+        all_blocks = self.blocks.all_blocks
+        remove_blocks = []
+        for i, block in enumerate(all_blocks):
+            try:
+                nb = all_blocks[i+1]
+            except IndexError:
+                break
+            block.resolve_skipped(nb)
+            if block.skipped:
+                remove_blocks.append((i, block))
+        for pos, block in reversed(remove_blocks):
+            self.blocks.delete_block_at(pos)
+
+        self.styles_manager.finalize(all_blocks)
         self.write()
 
     def process_item(self, item):
@@ -274,16 +318,25 @@ class Convert(object):
             with self.blocks:
                 self.process_tag(body, stylizer, is_first_tag=i == 0)
 
-    def process_tag(self, html_tag, stylizer, is_first_tag=False):
+    def process_tag(self, html_tag, stylizer, is_first_tag=False, float_spec=None):
         tagname = barename(html_tag.tag)
         if tagname in {'script', 'style', 'title', 'meta'}:
             return
         tag_style = stylizer.style(html_tag)
         if tag_style.is_hidden:
             return
+
         display = tag_style._get('display')
+        is_float = tag_style['float'] in {'left', 'right'} and not is_first_tag
+        if float_spec is None and is_float:
+            float_spec = FloatSpec(self.docx.namespace, html_tag, tag_style)
+
         if display in {'inline', 'inline-block'} or tagname == 'br':  # <br> has display:block but we dont want to start a new paragraph
-            self.add_inline_tag(tagname, html_tag, tag_style, stylizer)
+            if is_float and float_spec.is_dropcaps:
+                self.add_block_tag(tagname, html_tag, tag_style, stylizer, float_spec=float_spec)
+                float_spec = None
+            else:
+                self.add_inline_tag(tagname, html_tag, tag_style, stylizer)
         elif display == 'list-item':
             # TODO: Implement this
             self.add_block_tag(tagname, html_tag, tag_style, stylizer)
@@ -297,14 +350,14 @@ class Convert(object):
                 self.blocks.end_current_block()
                 self.blocks.start_new_table(html_tag, tag_style)
         else:
-            if tagname == 'img' and tag_style['float'] in {'left', 'right'}:
+            if tagname == 'img' and is_float:
                 # Image is floating so dont start a new paragraph for it
                 self.add_inline_tag(tagname, html_tag, tag_style, stylizer)
             else:
-                self.add_block_tag(tagname, html_tag, tag_style, stylizer)
+                self.add_block_tag(tagname, html_tag, tag_style, stylizer, float_spec=float_spec)
 
         for child in html_tag.iterchildren('*'):
-            self.process_tag(child, stylizer)
+            self.process_tag(child, stylizer, float_spec=float_spec)
 
         is_block = html_tag in self.blocks.open_html_blocks
         self.blocks.finish_tag(html_tag)
@@ -321,8 +374,8 @@ class Convert(object):
             block = self.blocks.current_or_new_block(html_tag.getparent(), stylizer.style(html_tag.getparent()))
             block.add_text(html_tag.tail, stylizer.style(html_tag.getparent()), is_parent_style=True)
 
-    def add_block_tag(self, tagname, html_tag, tag_style, stylizer, is_table_cell=False):
-        block = self.blocks.start_new_block(html_tag, tag_style, is_table_cell=is_table_cell)
+    def add_block_tag(self, tagname, html_tag, tag_style, stylizer, is_table_cell=False, float_spec=None):
+        block = self.blocks.start_new_block(html_tag, tag_style, is_table_cell=is_table_cell, float_spec=float_spec)
         if tagname == 'img':
             self.images_manager.add_image(html_tag, block, stylizer)
         else:
diff --git a/src/calibre/ebooks/docx/writer/styles.py b/src/calibre/ebooks/docx/writer/styles.py
index e52fe1ba05..6689c730b2 100644
--- a/src/calibre/ebooks/docx/writer/styles.py
+++ b/src/calibre/ebooks/docx/writer/styles.py
@@ -40,6 +40,67 @@ def css_font_family_to_docx(raw):
 def bmap(x):
     return 'on' if x else 'off'
 
+def is_dropcaps(html_tag, tag_style):
+    return len(html_tag) < 2 and len(etree.tostring(html_tag, method='text', encoding=unicode, with_tail=False)) < 5 and tag_style['float'] == 'left'
+
+class FloatSpec(object):
+
+    def __init__(self, namespace, html_tag, tag_style):
+        self.makeelement = namespace.makeelement
+        self.is_dropcaps = is_dropcaps(html_tag, tag_style)
+        self.blocks = []
+        if self.is_dropcaps:
+            self.dropcaps_lines = 3
+        else:
+            self.x_align = tag_style['float']
+            self.w = self.h = None
+            if tag_style._get('width') != 'auto':
+                self.w = int(20 * max(tag_style['min-width'], tag_style['width']))
+            if tag_style._get('height') == 'auto':
+                self.h_rule = 'auto'
+            else:
+                if tag_style['min-height'] > 0:
+                    self.h_rule, self.h = 'atLeast', tag_style['min-height']
+                else:
+                    self.h_rule, self.h = 'exact', tag_style['height']
+                self.h = int(20 * self.h)
+            self.h_space = int(20 * max(tag_style['margin-right'], tag_style['margin-left']))
+            self.v_space = int(20 * max(tag_style['margin-top'], tag_style['margin-bottom']))
+
+        read_css_block_borders(self, tag_style)
+
+    def serialize(self, block, parent):
+        if self.is_dropcaps:
+            attrs = dict(w_dropCap='drop', w_lines=str(self.dropcaps_lines), w_wrap='around', w_vAnchor='text', w_hAnchor='text')
+        else:
+            attrs = dict(
+                w_wrap='around', w_vAnchor='text', w_hAnchor='text', w_xAlign=self.x_align, w_y='1',
+                w_hSpace=str(self.h_space), w_vSpace=str(self.v_space), w_hRule=self.h_rule
+            )
+            if self.w is not None:
+                attrs['w_w'] = str(self.w)
+            if self.h is not None:
+                attrs['w_h'] = str(self.h)
+        self.makeelement(parent, 'w:framePr', **attrs)
+        # Margins are already applied by the frame style, so override them to
+        # be zero on individual blocks
+        self.makeelement(parent, 'w:ind', w_left='0', w_leftChars='0', w_right='0', w_rightChars='0')
+        attrs = {}
+        if block is self.blocks[0]:
+            attrs.update(dict(w_before='0', w_beforeLines='0'))
+        if block is self.blocks[-1]:
+            attrs.update(dict(w_after='0', w_afterLines='0'))
+        if attrs:
+            self.makeelement(parent, 'w:spacing', **attrs)
+        # Similarly apply the same border and padding properties to all blocks
+        # in this floatspec
+        bdr = self.makeelement(parent, 'w:pBdr')
+        for edge in border_edges:
+            padding = getattr(self, 'padding_' + edge)
+            width = getattr(self, 'border_%s_width' % edge)
+            bstyle = getattr(self, 'border_%s_style' % edge)
+            self.makeelement(bdr, 'w:'+edge, w_space=str(padding), w_val=bstyle, w_sz=str(width), w_color=getattr(self, 'border_%s_color' % edge))
+
 class DOCXStyle(object):
 
     ALL_PROPS = ()
diff --git a/src/calibre/ebooks/docx/writer/tables.py b/src/calibre/ebooks/docx/writer/tables.py
index 544a79e2ab..9fb9389763 100644
--- a/src/calibre/ebooks/docx/writer/tables.py
+++ b/src/calibre/ebooks/docx/writer/tables.py
@@ -93,6 +93,7 @@ class Cell(object):
 
     def add_block(self, block):
         self.items.append(block)
+        block.parent_items = self.items
 
     def add_table(self, table):
         self.items.append(table)