Teriparatide loaded thermo-responsive liposomes with high entrapment efficiency (> 75%) were prepared. The generation of hydrophobic ion pairs (HIPs) was explored for the first time as an approach to improve liposome entrapment of a peptide. Utilising a HIP approach improved peptide stability in ethanol and improved processing through direct incorporation of peptide ion pairs within the thin film. TEM analysis of empty liposomes showed vesicles presenting the typical liposomal bilayer. However, with higher levels of HIP entrapment a more heterogenous system of liposomes and micelles was evidenced by the presence of globular vesicles, thread like micelles and small rods. This was attributed to solubilisation of the lipid bilayer by SDS. The transition temperature of the liposomal formulations is modulated by the acyl chain length of phospholipid, and by modification of DPPC and DSPC ratios may be tailored within the range of 38 -50 °C. In vitro release experiments demonstrated temperaturedependent release kinetics providing a first proof-of-concept of the suitability of thermo-responsive liposomes for pulsatile delivery. Most importantly, no loss in biological activity of liposomal teriparatide was observed in a cell-based assay. Further development of this platform will afford active control over the release of the therapeutic through incorporation of NIR responsive materials. The incorporation of liposomal formulation into a hydrogel would permit a depot system, where localised laser-stimulation of the construct will generate brief hyperthermia triggering the release of teriparatide.