In this paper, an overview of the latest research activities in the field of cement-based composites incorporating sheep wool reinforcement is presented. First, the characteristics of this type of natural fibre are described. Then, the current use of sheep wool fibres in cement-based composites is discussed. The research problems regarding the properties of cement matrix composites reinforced with sheep wool are divided into four groups: thermal and acoustic properties, mechanical behavior, durability issues, and microstructure aspects. The latter two groups are analysed separately, because both durability and microstructure are of particular importance for future applications of wool reinforcement. Finally, the main directions of future researches are presented.