diff --git a/src/calibre/db/cache.py b/src/calibre/db/cache.py
index 92e6512b90..bffb792bfe 100644
--- a/src/calibre/db/cache.py
+++ b/src/calibre/db/cache.py
@@ -941,11 +941,13 @@ class Cache(object):
         return self._search_api(self, query, restriction, virtual_fields=virtual_fields, book_ids=book_ids)
 
     @api
-    def get_categories(self, sort='name', book_ids=None, icon_map=None, already_fixed=None):
+    def get_categories(self, sort='name', book_ids=None, icon_map=None, already_fixed=None,
+                       first_letter_sort=False):
         ' Used internally to implement the Tag Browser '
         try:
             with self.safe_read_lock:
-                return get_categories(self, sort=sort, book_ids=book_ids, icon_map=icon_map)
+                return get_categories(self, sort=sort, book_ids=book_ids, icon_map=icon_map,
+                                      first_letter_sort=first_letter_sort)
         except InvalidLinkTable as err:
             bad_field = err.field_name
             if bad_field == already_fixed:
diff --git a/src/calibre/db/categories.py b/src/calibre/db/categories.py
index 2e445f53f2..45c9e5711f 100644
--- a/src/calibre/db/categories.py
+++ b/src/calibre/db/categories.py
@@ -15,7 +15,7 @@ from future_builtins import map
 from calibre.ebooks.metadata import author_to_author_sort
 from calibre.library.field_metadata import TagsIcons
 from calibre.utils.config_base import tweaks
-from calibre.utils.icu import sort_key
+from calibre.utils.icu import sort_key, collation_order
 
 CATEGORY_SORTS = ('name', 'popularity', 'rating')  # This has to be a tuple not a set
 
@@ -116,19 +116,22 @@ def clean_user_categories(dbcache):
         pass
     return new_cats
 
-def sort_categories(items, sort):
-    reverse = True
+def sort_categories(items, sort, first_letter_sort=False):
     if sort == 'popularity':
-        key=attrgetter('count')
+        key=lambda x:(-getattr(x, 'count', 0), sort_key(x.sort or x.name))
     elif sort == 'rating':
-        key=attrgetter('avg_rating')
+        key=lambda x:(-getattr(x, 'avg_rating', 0.0), sort_key(x.sort or x.name))
     else:
-        key=lambda x:sort_key(x.sort or x.name)
-        reverse=False
-    items.sort(key=key, reverse=reverse)
+        if first_letter_sort:
+            key=lambda x:(collation_order(icu_upper(x.sort or x.name or ' ')),
+                          sort_key(x.sort or x.name))
+        else:
+            key=lambda x:sort_key(x.sort or x.name)
+    items.sort(key=key)
     return items
 
-def get_categories(dbcache, sort='name', book_ids=None, icon_map=None):
+def get_categories(dbcache, sort='name', book_ids=None, icon_map=None,
+                   first_letter_sort=False):
     if icon_map is not None and type(icon_map) != TagsIcons:
         raise TypeError('icon_map passed to get_categories must be of type TagIcons')
     if sort not in CATEGORY_SORTS:
@@ -170,7 +173,7 @@ def get_categories(dbcache, sort='name', book_ids=None, icon_map=None):
                 cat['is_multiple'] and cat['display'].get('is_names', False)):
                 for item in cats:
                     item.sort = author_to_author_sort(item.sort)
-        sort_categories(cats, sort)
+        sort_categories(cats, sort, first_letter_sort=first_letter_sort)
         categories[category] = cats
 
     # Needed for legacy databases that have multiple ratings that
diff --git a/src/calibre/gui2/tag_browser/model.py b/src/calibre/gui2/tag_browser/model.py
index edcd7eac4d..57f9aca620 100644
--- a/src/calibre/gui2/tag_browser/model.py
+++ b/src/calibre/gui2/tag_browser/model.py
@@ -865,16 +865,19 @@ class TagsModel(QAbstractItemModel):  # {{{
         # Get the categories
         if self.db.data.get_base_restriction() or self.db.data.get_search_restriction():
             try:
-                data = self.db.get_categories(sort=sort,
+                data = self.db.new_api.get_categories(sort=sort,
                         icon_map=self.category_icon_map,
-                        ids=self.db.search('', return_matches=True, sort_results=False))
+                        book_ids=self.db.search('', return_matches=True, sort_results=False),
+                        first_letter_sort = self.collapse_model == 'first letter')
             except:
                 import traceback
                 traceback.print_exc()
-                data = self.db.get_categories(sort=sort, icon_map=self.category_icon_map)
+                data = self.db.new_api.get_categories(sort=sort, icon_map=self.category_icon_map,
+                        first_letter_sort = self.collapse_model == 'first letter')
                 self.restriction_error.emit()
         else:
-            data = self.db.get_categories(sort=sort, icon_map=self.category_icon_map)
+            data = self.db.new_api.get_categories(sort=sort, icon_map=self.category_icon_map,
+                        first_letter_sort = self.collapse_model == 'first letter')
 
         # Reconstruct the user categories, putting them into metadata
         self.db.field_metadata.remove_dynamic_categories()