The essential feature of a teaching system designed to enhance learning and emulate professional practice is that the crucial assessments should be performance-based, allowing plenty of opportunity for students to offer their own ideas and solutions. This involves the use of formative assessment and feedback. High quality formative assessment has been linked to enhancement of learning and ultimately to higher student achievement. Although formative assessment is acknowledged as important in its effect on students' approaches to learning, it appears that the assessment practice is under utilized in pre-registration nurse education. This paper refocuses on the purpose of formative assessment of theory. It examines, from educational literature, some of the benefits of formative assessment and its pedagogical implications on deep learning, motivation and self-esteem, self-regulated learning and employability. It discusses what constitutes quality feedback to highlight that it is not just an essential component but also a central feature of formative assessment. The extent to which formative assessment and feedback can be applied to pre-registration nurse education is also explored. If formative assessment and feedback is well planned and conducted in assessment practice, it is suggested that effective learning can be facilitated in everyday learning activity.