diff --git a/site/content/docs/03-run-time.md b/site/content/docs/03-run-time.md
index 636a98834d..a0d3f4148c 100644
--- a/site/content/docs/03-run-time.md
+++ b/site/content/docs/03-run-time.md
@@ -148,7 +148,7 @@ setContext(key: any, context: any)
 
 ---
 
-Associates an arbitrary `context` object with the current component and the specified `key`. The context is then available to children of the component (including slotted content) with `getContext`.
+Associates an arbitrary `context` object with the current component and the specified `key` and returns that object. The context is then available to children of the component (including slotted content) with `getContext`.
 
 Like lifecycle functions, this must be called during component initialisation.
 
diff --git a/src/runtime/internal/lifecycle.ts b/src/runtime/internal/lifecycle.ts
index bb3df3d295..3b3c2f5f71 100644
--- a/src/runtime/internal/lifecycle.ts
+++ b/src/runtime/internal/lifecycle.ts
@@ -46,8 +46,9 @@ export function createEventDispatcher<
 	};
 }
 
-export function setContext<T>(key, context: T) {
+export function setContext<T>(key, context: T): T {
 	get_current_component().$$.context.set(key, context);
+	return context;
 }
 
 export function getContext<T>(key): T {
diff --git a/test/runtime/samples/context-setcontext-return/_config.js b/test/runtime/samples/context-setcontext-return/_config.js
new file mode 100644
index 0000000000..28a78f1359
--- /dev/null
+++ b/test/runtime/samples/context-setcontext-return/_config.js
@@ -0,0 +1,5 @@
+export default {
+	html: `
+		<div>true</div>
+	`
+};
diff --git a/test/runtime/samples/context-setcontext-return/main.svelte b/test/runtime/samples/context-setcontext-return/main.svelte
new file mode 100644
index 0000000000..87153ee846
--- /dev/null
+++ b/test/runtime/samples/context-setcontext-return/main.svelte
@@ -0,0 +1,7 @@
+<script>
+	import { setContext } from 'svelte';
+	const a = {};
+	const b = setContext('foo', a);
+</script>
+
+<div>{a === b}</div>