A tool handling system for tools (5) of the type having a machining portion and a common base portion (9) (e.g. an international taper) for being engaged by the drive spindle (40) of a workhead, said system being adapted for storing said tools and for moving a selected tool to a transfer station, the system including tool storage means (12) comprising a close-packed generally planar array of tool store locations (13), each adapted to receive the base portion (9) of a tool with its machining portion (6) directed upwardly and tool selector means (24) for moving over said tool storage means and for gripping a selected tool and moving it vertically out of its location, thence to a transfer station.