diff --git a/src/parse/state/tag.js b/src/parse/state/tag.js
index c6007318af..f315ef69e4 100644
--- a/src/parse/state/tag.js
+++ b/src/parse/state/tag.js
@@ -204,7 +204,7 @@ function readTagName ( parser ) {
 function readAttribute ( parser, uniqueNames ) {
 	const start = parser.index;
 
-	const name = parser.readUntil( /(\s|=|\/|>)/ );
+	let name = parser.readUntil( /(\s|=|\/|>)/ );
 	if ( !name ) return null;
 	if ( uniqueNames.has( name ) ) {
 		parser.error( 'Attributes need to be unique', start );
@@ -232,7 +232,15 @@ function readAttribute ( parser, uniqueNames ) {
 		};
 	}
 
-	const value = parser.eat( '=' ) ? readAttributeValue( parser ) : true;
+	let value;
+
+	// :foo is shorthand for foo='{{foo}}'
+	if ( /^:\w+$/.test( name ) ) {
+		name = name.slice( 1 );
+		value = getShorthandValue( start + 1, name );
+	} else {
+		value = parser.eat( '=' ) ? readAttributeValue( parser ) : true;
+	}
 
 	return {
 		start,
@@ -312,3 +320,19 @@ function readAttributeValue ( parser ) {
 
 	parser.error( `Unexpected end of input` );
 }
+
+function getShorthandValue ( start, name ) {
+	const end = start + name.length;
+
+	return [{
+		type: 'AttributeShorthand',
+		start,
+		end,
+		expression: {
+			type: 'Identifier',
+			start,
+			end,
+			name
+		}
+	}];
+}
\ No newline at end of file
diff --git a/test/generator/samples/attribute-dynamic-shorthand/_config.js b/test/generator/samples/attribute-dynamic-shorthand/_config.js
new file mode 100644
index 0000000000..1ecd6c650a
--- /dev/null
+++ b/test/generator/samples/attribute-dynamic-shorthand/_config.js
@@ -0,0 +1,10 @@
+export default {
+	html: `<div id="foo"></div>`,
+
+	test ( assert, component, target ) {
+		component.set({ id: 'bar' });
+		assert.equal( target.innerHTML, `<div id="bar"></div>` );
+
+		component.teardown();
+	}
+};
diff --git a/test/generator/samples/attribute-dynamic-shorthand/main.html b/test/generator/samples/attribute-dynamic-shorthand/main.html
new file mode 100644
index 0000000000..25b468a8f1
--- /dev/null
+++ b/test/generator/samples/attribute-dynamic-shorthand/main.html
@@ -0,0 +1,9 @@
+<div :id/>
+
+<script>
+	export default {
+		data: () => ({
+			id: 'foo'
+		})
+	};
+</script>
diff --git a/test/generator/samples/component-data-dynamic-shorthand/Widget.html b/test/generator/samples/component-data-dynamic-shorthand/Widget.html
new file mode 100644
index 0000000000..d465e83f81
--- /dev/null
+++ b/test/generator/samples/component-data-dynamic-shorthand/Widget.html
@@ -0,0 +1 @@
+<p>foo: {{foo}}</p>
\ No newline at end of file
diff --git a/test/generator/samples/component-data-dynamic-shorthand/_config.js b/test/generator/samples/component-data-dynamic-shorthand/_config.js
new file mode 100644
index 0000000000..c0a53c333c
--- /dev/null
+++ b/test/generator/samples/component-data-dynamic-shorthand/_config.js
@@ -0,0 +1,17 @@
+export default {
+	data: {
+		foo: 42
+	},
+
+	html: `<div><p>foo: 42</p></div>`,
+
+	test ( assert, component, target ) {
+		component.set({
+			foo: 99
+		});
+
+		assert.equal( target.innerHTML, `<div><p>foo: 99</p></div>` );
+
+		component.teardown();
+	}
+};
diff --git a/test/generator/samples/component-data-dynamic-shorthand/main.html b/test/generator/samples/component-data-dynamic-shorthand/main.html
new file mode 100644
index 0000000000..816def2c2f
--- /dev/null
+++ b/test/generator/samples/component-data-dynamic-shorthand/main.html
@@ -0,0 +1,11 @@
+<div>
+	<Widget :foo/>
+</div>
+
+<script>
+	import Widget from './Widget.html';
+
+	export default {
+		components: { Widget }
+	};
+</script>
diff --git a/test/parser/samples/attribute-shorthand/input.html b/test/parser/samples/attribute-shorthand/input.html
new file mode 100644
index 0000000000..e26deafb3a
--- /dev/null
+++ b/test/parser/samples/attribute-shorthand/input.html
@@ -0,0 +1 @@
+<div :id/>
\ No newline at end of file
diff --git a/test/parser/samples/attribute-shorthand/output.json b/test/parser/samples/attribute-shorthand/output.json
new file mode 100644
index 0000000000..979a8820ad
--- /dev/null
+++ b/test/parser/samples/attribute-shorthand/output.json
@@ -0,0 +1,40 @@
+{
+	"hash": 4120363214,
+	"html": {
+		"start": 0,
+		"end": 10,
+		"type": "Fragment",
+		"children": [
+			{
+				"start": 0,
+				"end": 10,
+				"type": "Element",
+				"name": "div",
+				"attributes": [
+					{
+						"start": 5,
+						"end": 8,
+						"type": "Attribute",
+						"name": "id",
+						"value": [
+							{
+								"start": 6,
+								"end": 8,
+								"type": "AttributeShorthand",
+								"expression": {
+									"type": "Identifier",
+									"start": 6,
+									"end": 8,
+									"name": "id"
+								}
+							}
+						]
+					}
+				],
+				"children": []
+			}
+		]
+	},
+	"css": null,
+	"js": null
+}
\ No newline at end of file