This work is concerned with the effect of addition of aluminium grid in Glass Fibre Reinforced Polymer Matrix Composite (GFRP) on the transverse compressive and buckling (axial) compressive strength of the composite. The 5-layered cylindrical composite consisting of alternate layers of bidirectional E-glass fibres and aluminium grid in an epoxy matrix, were fabricated using hand lay-up technique and subjected to transverse compressive and axial compressive (buckling) loads. Non-linear stress – strain response was achieved in transverse and axial loading conditions due to the yielding of the aluminium fibres. Fractography studies revealed that the brittle failure of the glass fibres and the yielding of aluminium fibres resulted in fibre rotation and shear distortion that helped to dissipate the crack propagation energy thereby increasing the strain to failure. This method may be effectively used to arrest the crack propagation that might develop as leakage cracks in composite pipes, enabling the hybrid composite to be used for underground pipelines in chemical and offshore platform applications