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An analysis is made to study a three dimensional MHD boundary layer flow and heat transfer due to a porous axisymmetric shrinking sheet. The governing partial differential equations of momentum and energy are transformed into self similar non-linear ordinary differential equations by using the suitable similarity transformations. These equations are, then solved by using the variational finite element method. The flow phenomena is characterised by the magnetic parameter M , suction parameter S , porosity parameter Kp , heat source/sink parameter Q , Prandtl number Pr, Eckert number Ec and radiation parameter Rd . The numerical results of the velocity and temperature profiles are obtained and displayed graphically.