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This report aims to provide information on the issues arising from and the practice of funding vocational education and training (VET) on the basis of program outcomes rather than enrolment/attendance (i.e. switching the emphasis of funding from inputs to outputs). It outlines the policy issues which output-related funding (ORF) generates as well as a number of real-world examples of its use within and beyond the European Union (the Netherlands, the United Kingdom and the United States of America). The objective of this report, therefore, is to combine, within one document, discussion and evidence concerning ORF.