diff --git a/tests/all_tests.php b/tests/all_tests.php
index 8a871917eb..2b68fd7264 100644
--- a/tests/all_tests.php
+++ b/tests/all_tests.php
@@ -22,6 +22,7 @@ require_once 'bbcode/all_tests.php';
 require_once 'utf/all_tests.php';
 require_once 'request/all_tests.php';
 require_once 'security/all_tests.php';
+require_once 'template/all_tests.php';
 
 // exclude the test directory from code coverage reports
 PHPUnit_Util_Filter::addDirectoryToFilter('./');
@@ -41,6 +42,7 @@ class phpbb_all_tests
 		$suite->addTest(phpbb_utf_all_tests::suite());
 		$suite->addTest(phpbb_request_all_tests::suite());
 		$suite->addTest(phpbb_security_all_tests::suite());
+		$suite->addTest(phpbb_template_all_tests::suite());
 
 		return $suite;
 	}
diff --git a/tests/template/all_tests.php b/tests/template/all_tests.php
new file mode 100644
index 0000000000..50f6aa6ee8
--- /dev/null
+++ b/tests/template/all_tests.php
@@ -0,0 +1,44 @@
+<?php
+/**
+*
+* @package testing
+* @version $Id$
+* @copyright (c) 2008 phpBB Group
+* @license http://opensource.org/licenses/gpl-license.php GNU Public License
+*
+*/
+
+define('IN_PHPBB', true);
+
+if (!defined('PHPUnit_MAIN_METHOD'))
+{
+	define('PHPUnit_MAIN_METHOD', 'phpbb_template_all_tests::main');
+}
+
+require_once 'PHPUnit/Framework.php';
+require_once 'PHPUnit/TextUI/TestRunner.php';
+
+require_once 'template/template.php';
+
+class phpbb_template_all_tests
+{
+	public static function main()
+	{
+		PHPUnit_TextUI_TestRunner::run(self::suite());
+	}
+
+	public static function suite()
+	{
+		$suite = new PHPUnit_Framework_TestSuite('phpBB Template Engine');
+
+		$suite->addTestSuite('phpbb_template_template_test');
+
+		return $suite;
+	}
+}
+
+if (PHPUnit_MAIN_METHOD == 'phpbb_template_all_tests::main')
+{
+	phpbb_template_all_tests::main();
+}
+?>
\ No newline at end of file
diff --git a/tests/template/template.php b/tests/template/template.php
new file mode 100644
index 0000000000..e2d9429511
--- /dev/null
+++ b/tests/template/template.php
@@ -0,0 +1,144 @@
+<?php
+/**
+*
+* @package testing
+* @version $Id$
+* @copyright (c) 2008 phpBB Group
+* @license http://opensource.org/licenses/gpl-license.php GNU Public License
+*
+*/
+
+define('IN_PHPBB', true);
+define('PHP_EXT', 'php');
+define('PHPBB_ROOT_PATH', '../phpBB/');
+
+require_once 'PHPUnit/Framework.php';
+
+require_once '../phpBB/includes/constants.php';
+require_once '../phpBB/includes/functions.php';
+require_once '../phpBB/includes/template.php';
+
+$config = array(
+	'load_tplcompile' => true
+);
+
+class phpbb_template_template_test extends PHPUnit_Framework_TestCase
+{
+	private $template;
+
+	private function display($handle)
+	{
+		ob_start();
+		$this->assertTrue($this->template->display($handle, false));
+		$contents = str_replace("\n\n", "\n", implode("\n", array_map('trim', explode("\n", trim(ob_get_contents())))));
+		ob_end_clean();
+
+		return $contents;
+	}
+
+	private function setup_engine()
+	{
+		$this->template = new template;
+		$this->template->set_custom_template(dirname(__FILE__) . '/templates/', 'tests');
+	}
+
+	protected function setUp()
+	{
+
+	}
+
+	public static function template_data()
+	{
+		return array(
+			/*
+			array(
+				'', // File
+				array(), // vars
+				array(), // block vars
+				'', // Expected result
+			),
+			*/
+			array(
+				'variable.html',
+				array('VARIABLE' => 'value'),
+				array(),
+				'value',
+			),
+			array(
+				'if.html',
+				array(),
+				array(),
+				'0',
+			),
+			array(
+				'if.html',
+				array('S_VALUE' => true),
+				array(),
+				'1',
+			),
+			array(
+				'loop.html',
+				array(),
+				array(),
+				"noloop\nnoloop",
+			),
+			array(
+				'loop.html',
+				array(),
+				array('loop' => array(array())),
+				"loop\nloop",
+			),
+			array(
+				'loop.html',
+				array(),
+				array('loop' => array(array(), array())),
+				"loop\nloop\nloop",
+			),
+			array(
+				'loop_vars.html',
+				array(),
+				array('loop' => array(array('VARIABLE' => 'x'))),
+				"first\n0\nx\nlast",
+			),
+			array(
+				'loop_vars.html',
+				array(),
+				array('loop' => array(array('VARIABLE' => 'x'), array('VARIABLE' => 'y'))),
+				"first\n0\nx\n1\ny\nlast",
+			),
+			array(
+				'define.html',
+				array(),
+				array(),
+				"xyz\nabc",
+			),
+			array(
+				'expressions.html',
+				array(),
+				array(),
+				trim(str_repeat("pass\n", 38)),
+			),
+		);			
+	}
+
+	/**
+	* @dataProvider template_data
+	*/
+	public function test_template($file, array $vars, array $block_vars, $expected)
+	{
+		$this->setup_engine();
+		$this->template->set_filenames(array('test' => $file));
+		$this->template->assign_vars($vars);
+
+		foreach ($block_vars as $block => $loops)
+		{
+			foreach ($loops as $_vars)
+			{
+				$this->template->assign_block_vars($block, $_vars);
+			}
+		}
+
+		$this->assertEquals($expected, $this->display('test'), "Testing $file.html");
+	}
+}
+?>
\ No newline at end of file
diff --git a/tests/template/templates/basic.html b/tests/template/templates/basic.html
new file mode 100644
index 0000000000..1a3fd5a96a
--- /dev/null
+++ b/tests/template/templates/basic.html
@@ -0,0 +1,18 @@
+<!-- IF S_FALSE -->
+fail
+<!-- ENDIF -->
+<!-- IF S_TRUE -->
+pass
+<!-- ENDIF -->
+<!-- IF S_FALSE -->
+fail
+<!-- ELSEIF S_FALSE and not S_TRUE -->
+fail
+<!-- ELSE -->
+pass
+<!-- ENDIF -->
+<!-- BEGIN empty -->
+fail
+<!-- BEGINELSE -->
+pass
+<!-- END empty -->
diff --git a/tests/template/templates/define.html b/tests/template/templates/define.html
new file mode 100644
index 0000000000..94741e53fc
--- /dev/null
+++ b/tests/template/templates/define.html
@@ -0,0 +1,11 @@
+<!-- DEFINE $VALUE = 'xyz' -->
+
+{$VALUE}
+
+<!-- DEFINE $VALUE = 'abc' -->
+
+{$VALUE}
+
+<!-- UNDEFINE $VALUE -->
+
+{$VALUE}
diff --git a/tests/template/templates/expressions.html b/tests/template/templates/expressions.html
new file mode 100644
index 0000000000..c70dc9418c
--- /dev/null
+++ b/tests/template/templates/expressions.html
@@ -0,0 +1,85 @@
+<!-- IF 10 is even -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 9 is even -->fail<!-- ELSE -->pass<!-- ENDIF -->
+
+<!-- IF not 390 is even -->fail<!-- ELSE -->pass<!-- ENDIF -->
+
+<!-- IF 9 is odd -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 32 is odd -->fail<!-- ELSE -->pass<!-- ENDIF -->
+
+
+<!-- IF 24 == 24 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 24 eq 24 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF ((((((24 == 24)))))) -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+
+<!-- IF 24 != 20 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 24 <> 20 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 24 ne 20 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 24 neq 20 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+
+<!-- IF 10 lt 20 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 10 < 20 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+
+<!-- IF 10 le 20 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 10 lte 20 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 10 <= 20 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 20 le 20 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 20 lte 20 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 20 <= 20 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+
+<!-- IF 9 gt 1 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 9 > 1 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+
+<!-- IF 9 >= 1 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 9 gte 1 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 9 ge 1 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 9 >= 9 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 9 gte 9 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 9 ge 9 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+
+<!-- IF true && (10 > 4) -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF true and (10 > 4) -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+
+<!-- IF false || true -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF false or true -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+
+<!-- IF !false -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF !! true -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF not false -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF not not not false -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+
+<!-- IF 6 % 4 == 2 -->pass<!-- ELSE -->fail<!-- ENDIF -->
+
+<!-- IF 24 mod 12 == 0 -->pass<!-- ELSE -->fail<!-- ENDIF -->
diff --git a/tests/template/templates/if.html b/tests/template/templates/if.html
new file mode 100644
index 0000000000..d8343c4391
--- /dev/null
+++ b/tests/template/templates/if.html
@@ -0,0 +1,5 @@
+<!-- IF S_VALUE -->
+1
+<!-- ELSE -->
+0
+<!-- ENDIF -->
diff --git a/tests/template/templates/loop.html b/tests/template/templates/loop.html
new file mode 100644
index 0000000000..ae921fc929
--- /dev/null
+++ b/tests/template/templates/loop.html
@@ -0,0 +1,11 @@
+<!-- BEGIN loop -->
+loop
+<!-- BEGINELSE -->
+noloop
+<!-- END loop -->
+
+<!-- IF .loop -->
+loop
+<!-- ELSE -->
+noloop
+<!-- ENDIF -->
diff --git a/tests/template/templates/loop_vars.html b/tests/template/templates/loop_vars.html
new file mode 100644
index 0000000000..0da0af4758
--- /dev/null
+++ b/tests/template/templates/loop_vars.html
@@ -0,0 +1,9 @@
+<!-- BEGIN loop -->
+<!-- IF loop.S_FIRST_ROW -->first<!-- ENDIF -->
+
+{loop.S_ROW_COUNT}
+
+{loop.VARIABLE}
+
+<!-- IF loop.S_LAST_ROW -->last<!-- ENDIF -->
+<!-- END loop -->
diff --git a/tests/template/templates/variable.html b/tests/template/templates/variable.html
new file mode 100644
index 0000000000..f68f91597c
--- /dev/null
+++ b/tests/template/templates/variable.html
@@ -0,0 +1 @@
+{VARIABLE}