diff --git a/src/test/run-pass/borrowck-static-item-in-fn.rs b/src/test/run-pass/borrowck-static-item-in-fn.rs
new file mode 100644
index 00000000000..a3a7a1b8969
--- /dev/null
+++ b/src/test/run-pass/borrowck-static-item-in-fn.rs
@@ -0,0 +1,15 @@
+// Copyright 2013 The Rust Project Developers. See the COPYRIGHT
+// file at the top-level directory of this distribution and at
+// http://rust-lang.org/COPYRIGHT.
+//
+// Licensed under the Apache License, Version 2.0 <LICENSE-APACHE or
+// http://www.apache.org/licenses/LICENSE-2.0> or the MIT license
+// <LICENSE-MIT or http://opensource.org/licenses/MIT>, at your
+// option. This file may not be copied, modified, or distributed
+// except according to those terms.
+
+// Regression test for issue #7740
+
+fn main() {
+    static A: &'static char = &'A';
+}