diff --git a/src/PowerSelect/__tests__/PowerSelect-test.js b/src/PowerSelect/__tests__/PowerSelect-test.js
index 0f9b0e0..453abbc 100644
--- a/src/PowerSelect/__tests__/PowerSelect-test.js
+++ b/src/PowerSelect/__tests__/PowerSelect-test.js
@@ -74,6 +74,97 @@ describe('<PowerSelect />', () => {
     expect(wrapper.find('.PowerSelect__TriggerLabel').text()).toBeFalsy();
   });
 
+  it('should clear the selected option, when the backspace key is pressed on focussed powerselect', () => {
+    const handleOnFocus = sinon.spy();
+    const wrapper = powerselect.renderWithProps({
+      selected: countries[2],
+      onFocus: handleOnFocus,
+    });
+
+    // Make sure powerselect is focussed
+    expect(handleOnFocus.calledOnce).toBeFalsy();
+    wrapper.find('.PowerSelect').simulate('focus');
+    expect(handleOnFocus.calledOnce).toBeTruthy();
+
+    // Make sure option is selected
+    expect(wrapper.find('.PowerSelect__TriggerLabel').text()).toBe('Canada');
+
+    // Make sure backspace clears the selected option
+    powerselect.triggerKeydown(KEY_CODES.BACKSPACE);
+    let args = powerselect.handleChange.getCall(0).args[0];
+    expect(powerselect.handleChange.calledOnce).toBeTruthy();
+    expect(args.option).toBe(undefined);
+    expect(args.select).toBeTruthy();
+    expect(args.select.searchTerm).toBe(null);
+
+    wrapper.setProps({
+      selected: args.option,
+    });
+    expect(wrapper.find('.PowerSelect__TriggerLabel').text()).toBeFalsy();
+  });
+
+  it('should not clear the selected option on backspace press if powerselect is disabled', () => {
+    const handleOnFocus = sinon.spy();
+    const wrapper = powerselect.renderWithProps({
+      selected: countries[2],
+      onFocus: handleOnFocus,
+      disabled: true,
+    });
+
+    // Make sure powerselect is focussed
+    expect(handleOnFocus.calledOnce).toBeFalsy();
+    wrapper.find('.PowerSelect').simulate('focus');
+    expect(handleOnFocus.calledOnce).toBeTruthy();
+
+    // Make sure option is selected and powerselect is disabled
+    expect(wrapper.find('.PowerSelect__TriggerLabel').text()).toBe('Canada');
+    expect(wrapper.find('.PowerSelect').hasClass('PowerSelect--disabled')).toBeTruthy();
+
+    //Make sure backspace does not trigger handlechange and selected option is not cleared
+    powerselect.triggerKeydown(KEY_CODES.BACKSPACE);
+    expect(powerselect.handleChange.notCalled).toBeTruthy();
+    expect(wrapper.find('.PowerSelect__TriggerLabel').text()).toBe('Canada');
+  });
+
+  it('should delegate `className` to the container, tether & menu', () => {
+    const wrapper = powerselect.renderWithProps({
+      className: 'TestPowerSelect',
+    });
+    expect(wrapper.find('.PowerSelect').hasClass('TestPowerSelect')).toBeTruthy();
+
+    powerselect.triggerContainerClick();
+    expect(
+      powerselect.portal.find('.PowerSelect__Menu').hasClass('TestPowerSelect__Menu')
+    ).toBeTruthy();
+    expect(document.querySelectorAll('.PowerSelect__Tether.TestPowerSelect__Tether').length).toBe(
+      1
+    );
+  });
+
+  it('should not clear the selected option on backspace press if powerselect does not have a clear option', () => {
+    const handleOnFocus = sinon.spy();
+    const wrapper = powerselect.renderWithProps({
+      showClear: false,
+      selected: countries[2],
+      onFocus: handleOnFocus,
+      disabled: true,
+    });
+
+    // Make sure powerselect is focussed
+    expect(handleOnFocus.calledOnce).toBeFalsy();
+    wrapper.find('.PowerSelect').simulate('focus');
+    expect(handleOnFocus.calledOnce).toBeTruthy();
+
+    // Make sure option is selected and powerselect has no clear field
+    expect(wrapper.find('.PowerSelect__TriggerLabel').text()).toBe('Canada');
+    expect(wrapper.find('.PowerSelect').hasClass('PowerSelect__Clear')).toBeFalsy();
+
+    //Make sure backspace does not trigger handlechange and selected option is not cleared
+    powerselect.triggerKeydown(KEY_CODES.BACKSPACE);
+    expect(powerselect.handleChange.notCalled).toBeTruthy();
+    expect(wrapper.find('.PowerSelect__TriggerLabel').text()).toBe('Canada');
+  });
+
   it('should delegate `className` to the container, tether & menu', () => {
     const wrapper = powerselect.renderWithProps({
       className: 'TestPowerSelect',
diff --git a/src/Select.js b/src/Select.js
index 9f03769..0b35e80 100644
--- a/src/Select.js
+++ b/src/Select.js
@@ -18,6 +18,7 @@ const KEY_CODES = {
   DOWN_ARROW: 40,
   ENTER: 13,
   TAB: 9,
+  BACKSPACE: 8,
 };
 
 const actions = {
@@ -25,6 +26,7 @@ const actions = {
   [KEY_CODES.DOWN_ARROW]: 'handleDownArrow',
   [KEY_CODES.ENTER]: 'handleEnterPress',
   [KEY_CODES.TAB]: 'handleTabPress',
+  [KEY_CODES.BACKSPACE]: 'handleBackspacePress',
 };
 
 const noop = () => {};
@@ -321,6 +323,27 @@ export default class Select extends Component {
     }
   };
 
+  /*
+   * Backspace clears field if the power select:
+   * 1. is focused
+   * 2. is closed
+   * 3. has no search term
+   * 4. is not disabled
+   * 5. has clear button
+   */
+  handleBackspacePress() {
+    if (
+      this.state.focused &&
+      !this.state.isOpen &&
+      !this.state.searchTerm &&
+      !this.props.disabled &&
+      this.props.showClear
+    ) {
+      this.selectOption(undefined);
+      this.focusField();
+    }
+  }
+
   getPublicApi() {
     let { isOpen, searchTerm } = this.state;
     return {
diff --git a/src/__tests__/test-utils/constants.js b/src/__tests__/test-utils/constants.js
index b0a637c..ea902a5 100644
--- a/src/__tests__/test-utils/constants.js
+++ b/src/__tests__/test-utils/constants.js
@@ -4,6 +4,7 @@ export const KEY_CODES = {
   ESCAPE: 27,
   ENTER: 13,
   TAB: 9,
+  BACKSPACE: 8,
 };
 
 export const frameworks = ['React', 'Ember', 'Angular', 'Vue', 'Inferno'];