diff --git a/lib/sinatra/base.rb b/lib/sinatra/base.rb
index 4710ca78..582cae52 100644
--- a/lib/sinatra/base.rb
+++ b/lib/sinatra/base.rb
@@ -268,7 +268,7 @@ module Sinatra
       if layout
         data, options[:filename], options[:line] = lookup_layout(engine, layout, views)
         if data
-          output = __send__("render_#{engine}", layout, data, options, {}) { output }
+          output = __send__("render_#{engine}", layout, data, options, locals) { output }
         end
       end
 
diff --git a/test/templates_test.rb b/test/templates_test.rb
index 8b815841..9cc663e1 100644
--- a/test/templates_test.rb
+++ b/test/templates_test.rb
@@ -85,6 +85,22 @@ class TemplatesTest < Test::Unit::TestCase
 
     assert @app.templates.empty?
   end
+
+  it 'passes locals to the layout' do
+    mock_app {
+      template :my_layout do
+        'Hello <%= name %>!<%= yield %>'
+      end
+
+      get '/' do
+        erb '<p>content</p>', { :layout => :my_layout }, { :name => 'Mike'}
+      end
+    }
+
+    get '/'
+    assert ok?
+    assert_equal 'Hello Mike!<p>content</p>', body
+  end
 end
 
 # __END__ : this is not the real end of the script.