diff --git a/example/example5.cpp b/example/example5.cpp
index 91e0b4fd..34c7abe1 100644
--- a/example/example5.cpp
+++ b/example/example5.cpp
@@ -72,4 +72,29 @@ void init_ex5(py::module &m) {
     m.def("test_callback2", &test_callback2);
     m.def("test_callback3", &test_callback3);
     m.def("test_callback4", &test_callback4);
+
+    /* Test cleanup of lambda closure */
+
+    struct Payload {
+        Payload() {
+            std::cout << "Payload constructor" << std::endl;
+        }
+        ~Payload() {
+            std::cout << "Payload destructor" << std::endl;
+        }
+        Payload(const Payload &) {
+            std::cout << "Payload copy constructor" << std::endl;
+        }
+        Payload(Payload &&) {
+            std::cout << "Payload move constructor" << std::endl;
+        }
+    };
+
+    m.def("test_cleanup", []() -> std::function<void(void)> { 
+        Payload p;
+
+        return [p]() {
+            /* p should be cleaned up when the returned function is garbage collected */
+        };
+    });
 }
diff --git a/example/example5.py b/example/example5.py
index 5aaaae7f..b7e3cd36 100755
--- a/example/example5.py
+++ b/example/example5.py
@@ -24,6 +24,7 @@ from example import test_callback1
 from example import test_callback2
 from example import test_callback3
 from example import test_callback4
+from example import test_cleanup
 
 def func1():
     print('Callback function 1 called!')
@@ -38,3 +39,5 @@ print(test_callback2(func2))
 test_callback3(lambda i: i + 1)
 f = test_callback4()
 print("func(43) = %i" % f(43))
+
+test_cleanup()
diff --git a/example/example5.ref b/example/example5.ref
index 51c1b05c..372cbe81 100644
--- a/example/example5.ref
+++ b/example/example5.ref
@@ -12,3 +12,9 @@ Callback function 2 called : Hello, x, True, 5
 5
 func(43) = 44
 func(43) = 44
+Payload constructor
+Payload copy constructor
+Payload move constructor
+Payload destructor
+Payload destructor
+Payload destructor
diff --git a/include/pybind/pybind.h b/include/pybind/pybind.h
index 9e707c12..9ca1929f 100644
--- a/include/pybind/pybind.h
+++ b/include/pybind/pybind.h
@@ -69,6 +69,7 @@ private:
         void *data = nullptr;
         bool is_constructor = false, is_method = false;
         short keywords = 0;
+        void (*free) (void *ptr) = nullptr;
         return_value_policy policy = return_value_policy::automatic;
         std::string signature;
         PyObject *class_ = nullptr;
@@ -242,6 +243,9 @@ private:
         m_entry = new function_entry();
         m_entry->data = new capture { std::forward<Func>(f), std::tuple<Extra...>(std::forward<Extra>(extra)...) };
 
+        if (!std::is_trivially_destructible<Func>::value)
+            m_entry->free = [](void *ptr) { delete (capture *) ptr; };
+
         typedef arg_value_caster<Arg...> cast_in;
         typedef return_value_caster<Return> cast_out;
 
@@ -333,7 +337,10 @@ private:
     static void destruct(function_entry *entry) {
         while (entry) {
             delete entry->def;
-            operator delete(entry->data);
+            if (entry->free)
+                entry->free(entry->data);
+            else
+                operator delete(entry->data);
             function_entry *next = entry->next;
             delete entry;
             entry = next;