A passive polarisation modulating optical element comprises a layer of birefringent material. The layer has substantially fixed birefringence and comprises retarder regions forming a regular pattern, for instance to act as a parallax barrier for a 3D display. The retarders have optic axes aligned in different directions from each other. The element may be associated with a polariser, for instance an output polariser of a liquid crystal device, with the polarising direction of the polariser being parallel to the optic axis of the retarders. Thus, the retarders have no effect on the intensity of light passing through the element whereas the retarders act as half waveplates and rotate the polarisation vector of light passing therethrough, for instance by 90.degree..