A flame resistant fabric includes first yarns including inherently flame resistant fibers and second yarns including wool fibers. The fabric may satisfy one or more performance standards set forth in ASTM F 1506-02, NFPA 2112 and NFPA 70E. The fabric may be a knit or woven fabric, such as a plush or terry knit construction, and one or both sides of the fabric may be napped to form a fleece fabric. The second yarns may include wool and modacrylic fibers, or wool fibers and other inherently flame resistant fibers. The first yarns or second yarns may include sufficient inherently flame resistant fibers such that the fabric has a char length of no more than 4 inches and an afterflame of no more than 2 seconds when tested in accordance with ASTM D6413. The fabric may exhibit a thermal shrinkage of no more than 10% when tested in accordance with NFPA 2112.