This contribution takes stock on the emergence of competence-based education in European Union (EU) countries. The article explains how economic constraints but also educational motives led educational policies and systems in the EU to shift to competence-based education. The related instructional frame and concepts are presented, as are the major EU-level initiatives. This article also highlights ways to be explored for further progress, especially in the fields of peer assessment, co-teaching and reflexive practice. (Contains 2 figures, 1 box, and 2 tables.)