diff --git a/components/rendering/src/markdown.rs b/components/rendering/src/markdown.rs
index a6ac28c9..4773274e 100644
--- a/components/rendering/src/markdown.rs
+++ b/components/rendering/src/markdown.rs
@@ -67,10 +67,10 @@ pub fn markdown_to_html(content: &str, context: &RenderContext) -> Result<(Strin
                         let id = find_anchor(&anchors, slugify(&text), 0);
                         anchors.push(id.clone());
                         // update the header and add it to the list
-                        temp_header.id = id.clone();
+                        temp_header.permalink = format!("{}#{}", context.current_page_permalink, id);
+                        temp_header.id = id;
                         // += as we might have some <code> or other things already there
                         temp_header.title += &text;
-                        temp_header.permalink = format!("{}#{}", context.current_page_permalink, id);
                         header_created = true;
                         return Event::Html(Owned(String::new()));
                     }
@@ -87,8 +87,9 @@ pub fn markdown_to_html(content: &str, context: &RenderContext) -> Result<(Strin
                 },
                 Event::Start(Tag::CodeBlock(ref info)) => {
                     if !context.config.highlight_code {
-                        return Event::Html(Owned("<pre><code>".to_owned()));
+                        return Event::Html(Owned("<pre><code>".to_string()));
                     }
+
                     let theme = &THEME_SET.themes[&context.config.highlight_theme];
                     highlighter = Some(get_highlighter(&theme, info));
                     let snippet = start_coloured_html_snippet(theme);
@@ -96,17 +97,23 @@ pub fn markdown_to_html(content: &str, context: &RenderContext) -> Result<(Strin
                 },
                 Event::End(Tag::CodeBlock(_)) => {
                     if !context.config.highlight_code {
-                        return Event::Html(Owned("</code></pre>\n".to_owned()))
+                        return Event::Html(Owned("</code></pre>\n".to_string()))
                     }
                     // reset highlight and close the code block
                     highlighter = None;
-                    Event::Html(Owned("</pre>".to_owned()))
+                    Event::Html(Owned("</pre>".to_string()))
                 },
                 // Need to handle relative links
                 Event::Start(Tag::Link(ref link, ref title)) => {
                     if in_header {
-                        return Event::Html(Owned("".to_owned()));
+                        if !title.is_empty() {
+                            temp_header.push(&format!("<a href=\"{}\" title=\"{}\">", link, title));
+                        } else {
+                            temp_header.push(&format!("<a href=\"{}\">", link));
+                        }
+                        return Event::Html(Owned(String::new()));
                     }
+
                     if link.starts_with("./") {
                         match resolve_internal_link(link, context.permalinks) {
                             Ok(url) => {
@@ -114,7 +121,7 @@ pub fn markdown_to_html(content: &str, context: &RenderContext) -> Result<(Strin
                             },
                             Err(_) => {
                                 error = Some(format!("Relative link {} not found.", link).into());
-                                return Event::Html(Owned("".to_string()));
+                                return Event::Html(Owned(String::new()));
                             }
                         };
                     }
@@ -123,10 +130,11 @@ pub fn markdown_to_html(content: &str, context: &RenderContext) -> Result<(Strin
                 },
                 Event::End(Tag::Link(_, _)) => {
                     if in_header {
-                        return Event::Html(Owned("".to_owned()));
+                        temp_header.push("</a>");
+                        return Event::Html(Owned(String::new()));
                     }
                     event
-                }
+                },
                 Event::Start(Tag::Code) => {
                     if in_header {
                         temp_header.push("<code>");
diff --git a/components/rendering/tests/markdown.rs b/components/rendering/tests/markdown.rs
index 2e547f33..3c66f02c 100644
--- a/components/rendering/tests/markdown.rs
+++ b/components/rendering/tests/markdown.rs
@@ -377,10 +377,10 @@ fn can_insert_anchor_with_link() {
     let permalinks_ctx = HashMap::new();
     let config = Config::default();
     let context = RenderContext::new(&GUTENBERG_TERA, &config, "", &permalinks_ctx, InsertAnchor::Left);
-    let res = render_content("## [](#xresources)Xresources", &context).unwrap();
+    let res = render_content("## [Rust](https://rust-lang.org)", &context).unwrap();
     assert_eq!(
         res.0,
-        "<h2 id=\"xresources\"><a class=\"gutenberg-anchor\" href=\"#xresources\" aria-label=\"Anchor link for: xresources\">🔗</a>\nXresources</h2>\n"
+        "<h2 id=\"rust\"><a class=\"gutenberg-anchor\" href=\"#rust\" aria-label=\"Anchor link for: rust\">🔗</a>\n<a href=\"https://rust-lang.org\">Rust</a></h2>\n"
     );
 }
 
@@ -448,3 +448,28 @@ fn can_understand_backtick_in_paragraphs() {
         "<p>Hello <code>world</code></p>\n"
     );
 }
+
+// https://github.com/Keats/gutenberg/issues/297
+#[test]
+fn can_understand_links_in_header() {
+    let permalinks_ctx = HashMap::new();
+    let config = Config::default();
+    let context = RenderContext::new(&GUTENBERG_TERA, &config, "", &permalinks_ctx, InsertAnchor::None);
+    let res = render_content("# [Rust](https://rust-lang.org)", &context).unwrap();
+    assert_eq!(
+        res.0,
+        "<h1 id=\"rust\"><a href=\"https://rust-lang.org\">Rust</a></h1>\n"
+    );
+}
+
+#[test]
+fn can_understand_link_with_title_in_header() {
+    let permalinks_ctx = HashMap::new();
+    let config = Config::default();
+    let context = RenderContext::new(&GUTENBERG_TERA, &config, "", &permalinks_ctx, InsertAnchor::None);
+    let res = render_content("# [Rust](https://rust-lang.org \"Rust homepage\")", &context).unwrap();
+    assert_eq!(
+        res.0,
+        "<h1 id=\"rust\"><a href=\"https://rust-lang.org\" title=\"Rust homepage\">Rust</a></h1>\n"
+    );
+}