This study uses a mixed method approach, comprising in-depth expert interviews and an intensive literature review to develop a conceptual study model of organisational innovation in the UAE. While leadership and culture are enacted differently in different contexts, very few of the rich existing related studies have been undertaken in the Middle East. Using data from an online survey of 370 employees, confirmatory factor analysis and structural equation modelling are used to test the study hypotheses. The findings demonstrate that organisational culture fully mediates the effect of leadership on innovation. This finding stands in sharp contrast with the current literature originating from other geographical contexts that demonstrated a positive direct effect of leadership on innovation. The reasons for this situation are discussed.