Summary: Novel temperature sensitive poly(N‐isopropylacrylamide‐co‐acryloyl beta‐cyclodextrin) (P(NIPA‐co‐A‐CD)) hydrogels with fast shrinking rates were prepared by radical polymerization of NIPA, A‐CD and crosslinker in a mixture of water/1,4‐dioxane as solvent. Because the mixed solvent was a poor solvent for the copolymers, phase separation occurred during the polymerization, which resulted in a heterogeneous, porous structure of the hydrogels. In contrast to the normal PNIPA hydrogel and the homo P(NIPA‐co‐A‐CD) gel prepared in water, the P(NIPA‐co‐A‐CD) hydrogels synthesized in water/1,4‐dioxane as solvent exhibited higher swelling ratios at the temperature below the lower critical solution temperature (LCST) and shrunk rapidly to equilibrium within shorter time when the temperature was increased above LCST. Increasing the acryloyl beta‐cyclodextrin content in the gels led to a slight decrease of the swelling ratio at lower temperature and had no marked influence on the shrinking kinetics. The gels prepared in water/1,4‐dioxane, at different v/v ratios of 1.0/0.2, 0.8/0.4 and 0.6/0.6, showed similar properties.