For intercultural education to impact learners and, in turn, wider society, teachers must turn intercultural perspectives into actions in their professional contexts. This article examines why teachers who hold positive intercultural views might not be compelled to teach to these in their classrooms. Focusing specifically on education for culturally diverse learners, this article presents a critical ethnographic study of two teachers working in a multicultural Australian primary school. It analyses the tensions that complicate teachers' work for intercultural education, and suggests that competent, well-intentioned teachers might be discouraged from responding pedagogically to their students' cultural or linguistic backgrounds because of perceived constraints in the contemporary neoliberal educational environment. This prompts our recommendation that future research seek ways to open up new conditions of possibility for teachers to act on their perspectives including opportunities for increased cross-cultural engagement and dialogue.