diff --git a/extras/Introjucer/Source/Code Editor/jucer_SourceCodeEditor.h b/extras/Introjucer/Source/Code Editor/jucer_SourceCodeEditor.h
index d5476efe34..4470d63044 100644
--- a/extras/Introjucer/Source/Code Editor/jucer_SourceCodeEditor.h	
+++ b/extras/Introjucer/Source/Code Editor/jucer_SourceCodeEditor.h	
@@ -127,7 +127,9 @@ public:
 
         if (pos.getLineNumber() > 0 && pos.getLineText().trim().isEmpty())
         {
-            String indent (getIndentForCurrentBlock (pos));
+            String indent;
+            getIndentForCurrentBlock (pos, indent);
+
             const String previousLine (pos.movedByLines (-1).getLineText());
             const String trimmedPreviousLine (previousLine.trim());
             const String leadingWhitespace (getLeadingWhitespace (previousLine));
@@ -154,10 +156,34 @@ public:
                  && pos.getLineText().trim().isEmpty())
             {
                 moveCaretToStartOfLine (true);
-                CodeEditorComponent::insertTextAtCaret (getIndentForCurrentBlock (pos));
 
-                if (newText == "{")
-                    insertTabAtCaret();
+                String whitespace;
+                if (getIndentForCurrentBlock (pos, whitespace))
+                {
+                    CodeEditorComponent::insertTextAtCaret (whitespace);
+
+                    if (newText == "{")
+                        insertTabAtCaret();
+                }
+            }
+            else if (newText == getDocument().getNewLineCharacters()
+                      && pos.getLineNumber() > 0)
+            {
+                const String remainderOfLine (pos.getLineText().substring (pos.getIndexInLine()));
+
+                if (remainderOfLine.startsWithChar ('{') || remainderOfLine.startsWithChar ('}'))
+                {
+                    String whitespace;
+                    if (getIndentForCurrentBlock (pos, whitespace))
+                    {
+                        CodeEditorComponent::insertTextAtCaret (newText + whitespace);
+
+                        if (remainderOfLine.startsWithChar ('{'))
+                            insertTabAtCaret();
+
+                        return;
+                    }
+                }
             }
         }
 
@@ -178,7 +204,7 @@ private:
         return String (line.getCharPointer(), endOfLeadingWS);
     }
 
-    static String getIndentForCurrentBlock (CodeDocument::Position pos)
+    static bool getIndentForCurrentBlock (CodeDocument::Position pos, String& whitespace)
     {
         int braceCount = 0;
 
@@ -198,12 +224,17 @@ private:
                     ++braceCount;
 
                 if (tokens[i] == "{")
+                {
                     if (--braceCount < 0)
-                        return getLeadingWhitespace (line);
+                    {
+                        whitespace = getLeadingWhitespace (line);
+                        return true;
+                    }
+                }
             }
         }
 
-        return String::empty;
+        return false;
     }
 };
 
diff --git a/modules/juce_gui_extra/code_editor/juce_CodeEditorComponent.cpp b/modules/juce_gui_extra/code_editor/juce_CodeEditorComponent.cpp
index d34f95b62d..04f9292b1c 100644
--- a/modules/juce_gui_extra/code_editor/juce_CodeEditorComponent.cpp
+++ b/modules/juce_gui_extra/code_editor/juce_CodeEditorComponent.cpp
@@ -697,11 +697,11 @@ void CodeEditorComponent::insertTabAtCaret()
     {
         const int caretCol = indexToColumn (caretPos.getLineNumber(), caretPos.getIndexInLine());
         const int spacesNeeded = spacesPerTab - (caretCol % spacesPerTab);
-        insertText (String::repeatedString (" ", spacesNeeded));
+        insertTextAtCaret (String::repeatedString (" ", spacesNeeded));
     }
     else
     {
-        insertText ("\t");
+        insertTextAtCaret ("\t");
     }
 }
 
@@ -765,9 +765,7 @@ void CodeEditorComponent::indentSelectedLines (const int spacesToAdd)
             if (newNumLeadingSpaces != numLeadingSpaces)
             {
                 document.deleteSection (wsStart, wsEnd);
-                document.insertText (wsStart, String::repeatedString (useSpacesForTabs ? " " : "\t",
-                                                                      useSpacesForTabs ? newNumLeadingSpaces
-                                                                                       : (newNumLeadingSpaces / spacesPerTab)));
+                document.insertText (wsStart, getTabString (newNumLeadingSpaces));
             }
         }
     }
@@ -1077,7 +1075,7 @@ bool CodeEditorComponent::keyPressed (const KeyPress& key)
 
 void CodeEditorComponent::handleReturnKey()
 {
-    insertText (document.getNewLineCharacters());
+    insertTextAtCaret (document.getNewLineCharacters());
 }
 
 void CodeEditorComponent::handleTabKey()
@@ -1248,6 +1246,13 @@ void CodeEditorComponent::setTabSize (const int numSpaces, const bool insertSpac
     }
 }
 
+String CodeEditorComponent::getTabString (const int numSpaces) const
+{
+    return String::repeatedString (useSpacesForTabs ? " " : "\t",
+                                   useSpacesForTabs ? numSpaces
+                                                    : (numSpaces / spacesPerTab));
+}
+
 int CodeEditorComponent::indexToColumn (int lineNum, int index) const noexcept
 {
     String::CharPointerType t (document.getLine (lineNum).getCharPointer());
diff --git a/modules/juce_gui_extra/code_editor/juce_CodeEditorComponent.h b/modules/juce_gui_extra/code_editor/juce_CodeEditorComponent.h
index 6d109b006c..f328fbc2c5 100644
--- a/modules/juce_gui_extra/code_editor/juce_CodeEditorComponent.h
+++ b/modules/juce_gui_extra/code_editor/juce_CodeEditorComponent.h
@@ -194,6 +194,9 @@ public:
     */
     bool areSpacesInsertedForTabs() const               { return useSpacesForTabs; }
 
+    /** Returns a string containing spaces or tab characters to generate the given number of spaces. */
+    String getTabString (int numSpaces) const;
+
     /** Changes the font.
         Make sure you only use a fixed-width font, or this component will look pretty nasty!
     */