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This document reports on a review of employer investment and co-funding in publicly-funded training. The review was commissioned in 2005 by the Department for Education and Skills (DfES) to explore current employer activity and to help inform public policy. It focuses mainly on qualitative assessment, examining the experiences of 32 targeted employers known to have been innovative in developing co-funding relationships within the post-16 sector. The report examines the following areas: (1) current employer activity in investment and co-funding of publicly-funded training, including patterns of employer investment and trends, and the role of brokers; (2) employer implementation and, in particular, rationales for co-funding, resourcing arrangements, and direction; (3) progress and impact within organisations with a focus on achievements and outcomes against expectations, success factors and constraints; and (4) issues and implications, drawn from the experiences of these employers, and implications for public policy. The review provides useful evidence of processes, benefits, and what enables, and frustrates, successful co-funding. The findings suggest a wide range of experience among employers on effectiveness of co-funding, but with employers generally perceiving the relationships as valuable and cost-effective. The evidence suggests that employer co-funding in the post-16 sector needs help to extend what appears to be a ‘currently narrow basis of employer experience’. Supporting annexes contain: the methodology and selection of employers; literature sources; a list of in-depth employer case studies; and summary matrices indicating employer investment and co-funding activity for all interviewed employers.