diff --git a/runtime/doc/autocmd.txt b/runtime/doc/autocmd.txt
index 8a968b9..20523ea 100644
--- a/runtime/doc/autocmd.txt
+++ b/runtime/doc/autocmd.txt
@@ -259,6 +259,7 @@
 |Syntax|		when the 'syntax' option has been set
 |EncodingChanged|	after the 'encoding' option has been changed
 |TermChanged|		after the value of 'term' has changed
+|OptionSet|		after setting any option
 
 	Startup and exit
 |VimEnter|		after doing all the startup stuff
@@ -744,6 +745,27 @@
 					o	Operator-pending
 					i	Insert
 					c	Command line
+							*OptionSet*
+OptionSet			After setting an option.  The pattern is
+				matched against the long option name.
+				The |v:option_old| variable indicates the
+				old option value, |v:option_new| variable
+				indicates the newly set value, the
+				|v:option_type| variable indicates whether
+				it's global or local scoped and |<amatch>|
+				indicates what option has been set.
+
+				Is not triggered on startup and for the 'key'
+				option for obvious reasons.
+
+				Note: It's a bad idea, to reset an option
+				during this autocommand, since this will
+				probably break plugins. You can always use
+				|noa| to prevent triggering this autocommand.
+				Could be used, to check for existence of the
+				'backupdir' and 'undodir' options and create
+				directories, if they don't exist yet.
+
 							*QuickFixCmdPre*
 QuickFixCmdPre			Before a quickfix command is run (|:make|,
 				|:lmake|, |:grep|, |:lgrep|, |:grepadd|,
diff --git a/runtime/doc/eval.txt b/runtime/doc/eval.txt
index b24a2a3..1a9e4f3 100644
--- a/runtime/doc/eval.txt
+++ b/runtime/doc/eval.txt
@@ -1535,6 +1535,15 @@
 		than String this will cause trouble.
 		{only when compiled with the |+viminfo| feature}
 
+						    *v:option_new*
+v:option_new    New value of the option. Valid while executing an |OptionSet|
+		autocommand.
+						    *v:option_old*
+v:option_old    Old value of the option. Valid while executing an |OptionSet|
+		autocommand.
+						    *v:option_type*
+v:option_type   Scope of the set command. Valid while executing an
+		|OptionSet| autocommand. Can be either "global" or "local"
 					*v:operator* *operator-variable*
 v:operator	The last operator given in Normal mode.  This is a single
 		character except for commands starting with <g> or <z>,
diff --git a/src/eval.c b/src/eval.c
index f163829..6a844e4 100644
--- a/src/eval.c
+++ b/src/eval.c
@@ -365,6 +365,9 @@
     {VV_NAME("windowid",	 VAR_NUMBER), VV_RO},
     {VV_NAME("progpath",	 VAR_STRING), VV_RO},
     {VV_NAME("completed_item",	 VAR_DICT), VV_RO},
+    {VV_NAME("option_new",	 VAR_STRING), VV_RO},
+    {VV_NAME("option_old",	 VAR_STRING), VV_RO},
+    {VV_NAME("option_type",	 VAR_STRING), VV_RO},
 };
 
 /* shorthand */
@@ -24720,6 +24723,16 @@
     }
 }
 
+/* reset v:option_new, v:option_old and v:option_type */
+    void
+reset_v_option_vars()
+{
+    set_vim_var_string(VV_OPTION_NEW,  NULL, -1);
+    set_vim_var_string(VV_OPTION_OLD,  NULL, -1);
+    set_vim_var_string(VV_OPTION_TYPE, NULL, -1);
+}
+
+
 #endif /* FEAT_EVAL */
 
 
diff --git a/src/fileio.c b/src/fileio.c
index fb14dbf..17b73bf 100644
--- a/src/fileio.c
+++ b/src/fileio.c
@@ -7699,6 +7699,7 @@
     {"InsertLeave",	EVENT_INSERTLEAVE},
     {"InsertCharPre",	EVENT_INSERTCHARPRE},
     {"MenuPopup",	EVENT_MENUPOPUP},
+    {"OptionSet",	EVENT_OPTIONSET},
     {"QuickFixCmdPost",	EVENT_QUICKFIXCMDPOST},
     {"QuickFixCmdPre",	EVENT_QUICKFIXCMDPRE},
     {"QuitPre",		EVENT_QUITPRE},
@@ -7736,7 +7737,7 @@
     NULL, NULL, NULL, NULL, NULL, NULL, NULL, NULL, NULL, NULL,
     NULL, NULL, NULL, NULL, NULL, NULL, NULL, NULL, NULL, NULL,
     NULL, NULL, NULL, NULL, NULL, NULL, NULL, NULL, NULL, NULL,
-    NULL, NULL, NULL, NULL, NULL, NULL, NULL, NULL, NULL
+    NULL, NULL, NULL, NULL, NULL, NULL, NULL, NULL, NULL, NULL
 };
 
 /*
@@ -9321,7 +9322,7 @@
      */
     if (fname_io == NULL)
     {
-	if (event == EVENT_COLORSCHEME)
+	if (event == EVENT_COLORSCHEME || event == EVENT_OPTIONSET)
 	    autocmd_fname = NULL;
 	else if (fname != NULL && *fname != NUL)
 	    autocmd_fname = fname;
@@ -9385,6 +9386,7 @@
 		|| event == EVENT_SPELLFILEMISSING
 		|| event == EVENT_QUICKFIXCMDPRE
 		|| event == EVENT_COLORSCHEME
+		|| event == EVENT_OPTIONSET
 		|| event == EVENT_QUICKFIXCMDPOST)
 	    fname = vim_strsave(fname);
 	else
diff --git a/src/option.c b/src/option.c
index 40dcc8d..c51d082 100644
--- a/src/option.c
+++ b/src/option.c
@@ -4592,9 +4592,12 @@
 		    {
 			char_u	    *save_arg = NULL;
 			char_u	    *s = NULL;
-			char_u	    *oldval;	/* previous value if *varp */
+			char_u	    *oldval = NULL;	/* previous value if *varp */
 			char_u	    *newval;
-			char_u	    *origval;
+			char_u	    *origval = NULL;
+#if defined(FEAT_AUTOCMD) && defined(FEAT_EVAL)
+			char_u	    *saved_origval = NULL;
+#endif
 			unsigned    newlen;
 			int	    comma;
 			int	    bs;
@@ -4914,6 +4917,14 @@
 			/* Set the new value. */
 			*(char_u **)(varp) = newval;
 
+#if defined(FEAT_AUTOCMD) && defined(FEAT_EVAL)
+			if (!starting && options[opt_idx].indir != PV_KEY
+							   && origval != NULL)
+			    /* origval may be freed by
+			     * did_set_string_option(), make a copy. */
+			    saved_origval = vim_strsave(origval);
+#endif
+
 			/* Handle side effects, and set the global value for
 			 * ":set" on local options. */
 			errmsg = did_set_string_option(opt_idx, (char_u **)varp,
@@ -4922,6 +4933,24 @@
 			/* If error detected, print the error message. */
 			if (errmsg != NULL)
 			    goto skip;
+#if defined(FEAT_AUTOCMD) && defined(FEAT_EVAL)
+			if (saved_origval != NULL)
+			{
+			    char_u buf_type[7];
+
+			    sprintf((char *)buf_type, "%s",
+				(opt_flags & OPT_LOCAL) ? "local" : "global");
+			    set_vim_var_string(VV_OPTION_NEW, newval, -1);
+			    set_vim_var_string(VV_OPTION_OLD, saved_origval, -1);
+			    set_vim_var_string(VV_OPTION_TYPE, buf_type, -1);
+			    apply_autocmds(EVENT_OPTIONSET,
+					  (char_u *)options[opt_idx].fullname,
+				NULL, FALSE, NULL);
+			    reset_v_option_vars();
+			    vim_free(saved_origval);
+			}
+#endif
+
 		    }
 		    else	    /* key code option */
 		    {
@@ -5668,6 +5697,9 @@
     char_u	*s;
     char_u	**varp;
     char_u	*oldval;
+#if defined(FEAT_AUTOCMD) && defined(FEAT_EVAL)
+    char_u	*saved_oldval = NULL;
+#endif
     char_u	*r = NULL;
 
     if (options[opt_idx].var == NULL)	/* don't set hidden option */
@@ -5683,9 +5715,30 @@
 		    : opt_flags);
 	oldval = *varp;
 	*varp = s;
+
+#if defined(FEAT_AUTOCMD) && defined(FEAT_EVAL)
+	if (!starting && options[opt_idx].indir != PV_KEY)
+	    saved_oldval = vim_strsave(oldval);
+#endif
 	if ((r = did_set_string_option(opt_idx, varp, TRUE, oldval, NULL,
 							   opt_flags)) == NULL)
 	    did_set_option(opt_idx, opt_flags, TRUE);
+
+	/* call autocomamnd after handling side effects */
+#if defined(FEAT_AUTOCMD) && defined(FEAT_EVAL)
+	if (saved_oldval != NULL)
+	{
+	    char_u buf_type[7];
+	    sprintf((char *)buf_type, "%s",
+		(opt_flags & OPT_LOCAL) ? "local" : "global");
+	    set_vim_var_string(VV_OPTION_NEW, s, -1);
+	    set_vim_var_string(VV_OPTION_OLD, oldval, -1);
+	    set_vim_var_string(VV_OPTION_TYPE, buf_type, -1);
+	    apply_autocmds(EVENT_OPTIONSET, (char_u *)options[opt_idx].fullname, NULL, FALSE, NULL);
+	    reset_v_option_vars();
+	    vim_free(saved_oldval);
+	}
+#endif
     }
     return r;
 }
@@ -8230,8 +8283,25 @@
      * End of handling side effects for bool options.
      */
 
+    /* after handling side effects, call autocommand */
+
     options[opt_idx].flags |= P_WAS_SET;
 
+#if defined(FEAT_AUTOCMD) && defined(FEAT_EVAL)
+    if (!starting)
+    {
+	char_u buf_old[2], buf_new[2], buf_type[7];
+	snprintf((char *)buf_old, 2, "%d", old_value ? TRUE: FALSE);
+	snprintf((char *)buf_new, 2, "%d", value ? TRUE: FALSE);
+	sprintf((char *)buf_type, "%s", (opt_flags & OPT_LOCAL) ? "local" : "global");
+	set_vim_var_string(VV_OPTION_NEW, buf_new, -1);
+	set_vim_var_string(VV_OPTION_OLD, buf_old, -1);
+	set_vim_var_string(VV_OPTION_TYPE, buf_type, -1);
+	apply_autocmds(EVENT_OPTIONSET, (char_u *) options[opt_idx].fullname, NULL, FALSE, NULL);
+	reset_v_option_vars();
+    }
+#endif
+
     comp_col();			    /* in case 'ruler' or 'showcmd' changed */
     if (curwin->w_curswant != MAXCOL
 		     && (options[opt_idx].flags & (P_CURSWANT | P_RALL)) != 0)
@@ -8767,6 +8837,21 @@
 
     options[opt_idx].flags |= P_WAS_SET;
 
+#if defined(FEAT_AUTOCMD) && defined(FEAT_EVAL)
+    if (!starting && errmsg == NULL)
+    {
+	char_u buf_old[11], buf_new[11], buf_type[7];
+	snprintf((char *)buf_old, 10, "%ld", old_value);
+	snprintf((char *)buf_new, 10, "%ld", value);
+	snprintf((char *)buf_type, 7, "%s", (opt_flags & OPT_LOCAL) ? "local" : "global");
+	set_vim_var_string(VV_OPTION_NEW, buf_new, -1);
+	set_vim_var_string(VV_OPTION_OLD, buf_old, -1);
+	set_vim_var_string(VV_OPTION_TYPE, buf_type, -1);
+	apply_autocmds(EVENT_OPTIONSET, (char_u *) options[opt_idx].fullname, NULL, FALSE, NULL);
+	reset_v_option_vars();
+    }
+#endif
+
     comp_col();			    /* in case 'columns' or 'ls' changed */
     if (curwin->w_curswant != MAXCOL
 		     && (options[opt_idx].flags & (P_CURSWANT | P_RALL)) != 0)
diff --git a/src/proto/eval.pro b/src/proto/eval.pro
index 22b8b18..b807baf 100644
--- a/src/proto/eval.pro
+++ b/src/proto/eval.pro
@@ -133,6 +133,7 @@
 int store_session_globals __ARGS((FILE *fd));
 void last_set_msg __ARGS((scid_T scriptID));
 void ex_oldfiles __ARGS((exarg_T *eap));
+void reset_v_option_vars __ARGS((void));
 int modify_fname __ARGS((char_u *src, int *usedlen, char_u **fnamep, char_u **bufp, int *fnamelen));
 char_u *do_string_sub __ARGS((char_u *str, char_u *pat, char_u *sub, char_u *flags));
 /* vim: set ft=c : */
diff --git a/src/testdir/Make_amiga.mak b/src/testdir/Make_amiga.mak
index da47989..5128087 100644
--- a/src/testdir/Make_amiga.mak
+++ b/src/testdir/Make_amiga.mak
@@ -38,6 +38,7 @@
 		test104.out test105.out test106.out test107.out \
 		test_argument_0count.out \
 		test_argument_count.out \
+		test_autocmd_option.out \
 		test_autoformat_join.out \
 		test_breakindent.out \
 		test_changelist.out \
@@ -188,6 +189,7 @@
 test107.out: test107.in
 test_argument_0count.out: test_argument_0count.in
 test_argument_count.out: test_argument_count.in
+test_autocmd_option.out: test_autocmd_option.in
 test_autoformat_join.out: test_autoformat_join.in
 test_breakindent.out: test_breakindent.in
 test_changelist.out: test_changelist.in
diff --git a/src/testdir/Make_dos.mak b/src/testdir/Make_dos.mak
index 6bb0577..8c0169b 100644
--- a/src/testdir/Make_dos.mak
+++ b/src/testdir/Make_dos.mak
@@ -37,6 +37,7 @@
 		test105.out test106.out  test107.out\
 		test_argument_0count.out \
 		test_argument_count.out \
+		test_autocmd_option.out \
 		test_autoformat_join.out \
 		test_breakindent.out \
 		test_changelist.out \
diff --git a/src/testdir/Make_ming.mak b/src/testdir/Make_ming.mak
index faa2294..2f00124 100644
--- a/src/testdir/Make_ming.mak
+++ b/src/testdir/Make_ming.mak
@@ -59,6 +59,7 @@
 		test105.out test106.out test107.out \
 		test_argument_0count.out \
 		test_argument_count.out \
+		test_autocmd_option.out \
 		test_autoformat_join.out \
 		test_breakindent.out \
 		test_changelist.out \
diff --git a/src/testdir/Make_os2.mak b/src/testdir/Make_os2.mak
index b93408c..7277556 100644
--- a/src/testdir/Make_os2.mak
+++ b/src/testdir/Make_os2.mak
@@ -39,6 +39,7 @@
 		test105.out test106.out test107.out \
 		test_argument_0count.out \
 		test_argument_count.out \
+		test_autocmd_option.out \
 		test_autoformat_join.out \
 		test_breakindent.out \
 		test_changelist.out \
diff --git a/src/testdir/Make_vms.mms b/src/testdir/Make_vms.mms
index 1c6a56d..726c233 100644
--- a/src/testdir/Make_vms.mms
+++ b/src/testdir/Make_vms.mms
@@ -98,6 +98,7 @@
 	 test105.out test106.out test107.out \
 	 test_argument_0count.out \
 	 test_argument_count.out \
+	 test_autocmd_option.out \
 	 test_autoformat_join.out \
 	 test_breakindent.out \
 	 test_changelist.out \
diff --git a/src/testdir/Makefile b/src/testdir/Makefile
index 1a3ff85..4d5aea7 100644
--- a/src/testdir/Makefile
+++ b/src/testdir/Makefile
@@ -35,6 +35,7 @@
 		test104.out test105.out test106.out test107.out \
 		test_argument_0count.out \
 		test_argument_count.out \
+		test_autocmd_option.out \
 		test_autoformat_join.out \
 		test_breakindent.out \
 		test_changelist.out \
diff --git a/src/testdir/test_autocmd_option.in b/src/testdir/test_autocmd_option.in
new file mode 100644
index 0000000..4d71c50
--- /dev/null
+++ b/src/testdir/test_autocmd_option.in
@@ -0,0 +1,73 @@
+Test for option autocommand
+
+STARTTEST
+:so small.vim
+:if !has("eval") || !has("autocmd") | e! test.ok | w! test.out | qa! | endif
+:fu! AutoCommand(match)
+:	let c=g:testcase
+:       let item=remove(g:options, 0)
+:       let c.=printf("Expected: Name: <%s>, Oldval: <%s>, NewVal: <%s>, Scope: <%s>\n", item[0], item[1], item[2], item[3])
+:       let c.=printf("Autocmd Option: <%s>,", a:match)
+:       let c.=printf(" OldVal: <%s>,", v:option_old)
+:       let c.=printf(" NewVal: <%s>,", v:option_new)
+:       let c.=printf(" Scope: <%s>\n", v:option_type)
+:       call setreg('r', printf("%s\n%s", getreg('r'), c))
+:endfu
+:au OptionSet * :call AutoCommand(expand("<amatch>"))
+:let g:testcase="1: Setting number option\n"
+:let g:options=[['number', 0, 1, 'global']]
+:set nu
+:let g:testcase="2: Setting local number option\n"
+:let g:options=[['number', 1, 0, 'local']]
+:setlocal nonu
+:let g:testcase="3: Setting global number option\n"
+:let g:options=[['number', 1, 0, 'global']]
+:setglobal nonu
+:let g:testcase="4: Setting local autoindent option\n"
+:let g:options=[['autoindent', 0, 1, 'local']]
+:setlocal ai
+:let g:testcase="5: Setting global autoindent option\n"
+:let g:options=[['autoindent', 0, 1, 'global']]
+:setglobal ai
+:let g:testcase="6: Setting global autoindent option\n"
+:let g:options=[['autoindent', 1, 0, 'global']]
+:set ai!
+: Should not print anything, use :noa
+:noa :set nonu
+:let g:testcase="7: Setting several global list and number option\n"
+:let g:options=[['list', 0, 1, 'global'], ['number', 0, 1, 'global']]
+:set list nu
+:noa set nolist nonu
+:let g:testcase="8: Setting global acd\n"
+:let g:options=[['autochdir', 0, 1, 'global']]
+:setlocal acd
+:let g:testcase="9: Setting global autoread\n"
+:let g:options=[['autoread', 0, 1, 'global']]
+:set ar
+:let g:testcase="10: Setting local autoread\n"
+:let g:options=[['autoread', 0, 1, 'local']]
+:setlocal ar
+:let g:testcase="11: Setting global autoread\n"
+:let g:options=[['autoread', 1, 0, 'global']]
+:setglobal invar
+:let g:testcase="12: Setting option backspace through :let\n"
+:let g:options=[['backspace', '', 'eol,indent,start', 'global']]
+:let &bs="eol,indent,start"
+:let g:testcase="13: Setting option backspace through setbufvar()\n"
+:let g:options=[['backup', '', '1', 'local']]
+: "try twice, first time, shouldn't trigger because option name is invalid, second time, it should trigger
+:call setbufvar(1, '&l:bk', 1)
+: "should trigger, use correct option name
+:call setbufvar(1, '&backup', 1)
+:" Write register now, because next test shouldn't output anything.
+:$put r
+:let @r=''
+:let g:testcase="\n14: Setting key option, shouldn't trigger\n"
+:let g:options=[['key', 'invalid', 'invalid1', 'invalid']]
+:setlocal key=blah
+:setlocal key=
+:$put =g:testcase
+:%w! test.out
+:qa!
+ENDTEST
+dummy text
diff --git a/src/testdir/test_autocmd_option.ok b/src/testdir/test_autocmd_option.ok
new file mode 100644
index 0000000..b66b8f6
--- /dev/null
+++ b/src/testdir/test_autocmd_option.ok
@@ -0,0 +1,131 @@
+Test for option autocommand
+
+STARTTEST
+:so small.vim
+:if !has("eval") || !has("autocmd") | e! test.ok | w! test.out | qa! | endif
+:fu! AutoCommand(match)
+:	let c=g:testcase
+:       let item=remove(g:options, 0)
+:       let c.=printf("Expected: Name: <%s>, Oldval: <%s>, NewVal: <%s>, Scope: <%s>\n", item[0], item[1], item[2], item[3])
+:       let c.=printf("Autocmd Option: <%s>,", a:match)
+:       let c.=printf(" OldVal: <%s>,", v:option_old)
+:       let c.=printf(" NewVal: <%s>,", v:option_new)
+:       let c.=printf(" Scope: <%s>\n", v:option_type)
+:       call setreg('r', printf("%s\n%s", getreg('r'), c))
+:endfu
+:au OptionSet * :call AutoCommand(expand("<amatch>"))
+:let g:testcase="1: Setting number option\n"
+:let g:options=[['number', 0, 1, 'global']]
+:set nu
+:let g:testcase="2: Setting local number option\n"
+:let g:options=[['number', 1, 0, 'local']]
+:setlocal nonu
+:let g:testcase="3: Setting global number option\n"
+:let g:options=[['number', 1, 0, 'global']]
+:setglobal nonu
+:let g:testcase="4: Setting local autoindent option\n"
+:let g:options=[['autoindent', 0, 1, 'local']]
+:setlocal ai
+:let g:testcase="5: Setting global autoindent option\n"
+:let g:options=[['autoindent', 0, 1, 'global']]
+:setglobal ai
+:let g:testcase="6: Setting global autoindent option\n"
+:let g:options=[['autoindent', 1, 0, 'global']]
+:set ai!
+: Should not print anything, use :noa
+:noa :set nonu
+:let g:testcase="7: Setting several global list and number option\n"
+:let g:options=[['list', 0, 1, 'global'], ['number', 0, 1, 'global']]
+:set list nu
+:noa set nolist nonu
+:let g:testcase="8: Setting global acd\n"
+:let g:options=[['autochdir', 0, 1, 'global']]
+:setlocal acd
+:let g:testcase="9: Setting global autoread\n"
+:let g:options=[['autoread', 0, 1, 'global']]
+:set ar
+:let g:testcase="10: Setting local autoread\n"
+:let g:options=[['autoread', 0, 1, 'local']]
+:setlocal ar
+:let g:testcase="11: Setting global autoread\n"
+:let g:options=[['autoread', 1, 0, 'global']]
+:setglobal invar
+:let g:testcase="12: Setting option backspace through :let\n"
+:let g:options=[['backspace', '', 'eol,indent,start', 'global']]
+:let &bs="eol,indent,start"
+:let g:testcase="13: Setting option backspace through setbufvar()\n"
+:let g:options=[['backup', '', '1', 'local']]
+: "try twice, first time, shouldn't trigger because option name is invalid, second time, it should trigger
+:call setbufvar(1, '&l:bk', 1)
+: "should trigger, use correct option name
+:call setbufvar(1, '&backup', 1)
+:" Write register now, because next test shouldn't output anything.
+:$put r
+:let @r=''
+:let g:testcase="\n14: Setting key option, shouldn't trigger\n"
+:let g:options=[['key', 'invalid', 'invalid1', 'invalid']]
+:setlocal key=blah
+:setlocal key=
+:$put =g:testcase
+:%w! test.out
+:qa!
+ENDTEST
+dummy text
+
+1: Setting number option
+Expected: Name: <number>, Oldval: <0>, NewVal: <1>, Scope: <global>
+Autocmd Option: <number>, OldVal: <0>, NewVal: <1>, Scope: <global>
+
+2: Setting local number option
+Expected: Name: <number>, Oldval: <1>, NewVal: <0>, Scope: <local>
+Autocmd Option: <number>, OldVal: <1>, NewVal: <0>, Scope: <local>
+
+3: Setting global number option
+Expected: Name: <number>, Oldval: <1>, NewVal: <0>, Scope: <global>
+Autocmd Option: <number>, OldVal: <1>, NewVal: <0>, Scope: <global>
+
+4: Setting local autoindent option
+Expected: Name: <autoindent>, Oldval: <0>, NewVal: <1>, Scope: <local>
+Autocmd Option: <autoindent>, OldVal: <0>, NewVal: <1>, Scope: <local>
+
+5: Setting global autoindent option
+Expected: Name: <autoindent>, Oldval: <0>, NewVal: <1>, Scope: <global>
+Autocmd Option: <autoindent>, OldVal: <0>, NewVal: <1>, Scope: <global>
+
+6: Setting global autoindent option
+Expected: Name: <autoindent>, Oldval: <1>, NewVal: <0>, Scope: <global>
+Autocmd Option: <autoindent>, OldVal: <1>, NewVal: <0>, Scope: <global>
+
+7: Setting several global list and number option
+Expected: Name: <list>, Oldval: <0>, NewVal: <1>, Scope: <global>
+Autocmd Option: <list>, OldVal: <0>, NewVal: <1>, Scope: <global>
+
+7: Setting several global list and number option
+Expected: Name: <number>, Oldval: <0>, NewVal: <1>, Scope: <global>
+Autocmd Option: <number>, OldVal: <0>, NewVal: <1>, Scope: <global>
+
+8: Setting global acd
+Expected: Name: <autochdir>, Oldval: <0>, NewVal: <1>, Scope: <global>
+Autocmd Option: <autochdir>, OldVal: <0>, NewVal: <1>, Scope: <local>
+
+9: Setting global autoread
+Expected: Name: <autoread>, Oldval: <0>, NewVal: <1>, Scope: <global>
+Autocmd Option: <autoread>, OldVal: <0>, NewVal: <1>, Scope: <global>
+
+10: Setting local autoread
+Expected: Name: <autoread>, Oldval: <0>, NewVal: <1>, Scope: <local>
+Autocmd Option: <autoread>, OldVal: <1>, NewVal: <1>, Scope: <local>
+
+11: Setting global autoread
+Expected: Name: <autoread>, Oldval: <1>, NewVal: <0>, Scope: <global>
+Autocmd Option: <autoread>, OldVal: <1>, NewVal: <0>, Scope: <global>
+
+12: Setting option backspace through :let
+Expected: Name: <backspace>, Oldval: <>, NewVal: <eol,indent,start>, Scope: <global>
+Autocmd Option: <backspace>, OldVal: <>, NewVal: <eol,indent,start>, Scope: <global>
+
+13: Setting option backspace through setbufvar()
+Expected: Name: <backup>, Oldval: <>, NewVal: <1>, Scope: <local>
+Autocmd Option: <backup>, OldVal: <0>, NewVal: <1>, Scope: <local>
+
+14: Setting key option, shouldn't trigger
diff --git a/src/version.c b/src/version.c
index 27a19ad..cef927d 100644
--- a/src/version.c
+++ b/src/version.c
@@ -742,6 +742,8 @@
 static int included_patches[] =
 {   /* Add new patch number below this line */
 /**/
+    786,
+/**/
     785,
 /**/
     784,
diff --git a/src/vim.h b/src/vim.h
index 4e36f3d..809f312 100644
--- a/src/vim.h
+++ b/src/vim.h
@@ -1335,6 +1335,7 @@
     EVENT_TEXTCHANGED,		/* text was modified */
     EVENT_TEXTCHANGEDI,		/* text was modified in Insert mode*/
     EVENT_CMDUNDEFINED,		/* command undefined */
+    EVENT_OPTIONSET,		/* option was set */
     NUM_EVENTS			/* MUST be the last one */
 };
 
@@ -1898,7 +1899,10 @@
 #define VV_WINDOWID	56
 #define VV_PROGPATH	57
 #define VV_COMPLETED_ITEM 58
-#define VV_LEN		59	/* number of v: vars */
+#define VV_OPTION_NEW   59
+#define VV_OPTION_OLD   60
+#define VV_OPTION_TYPE  61
+#define VV_LEN		62	/* number of v: vars */
 
 #ifdef FEAT_CLIPBOARD