A sensor arrangement for a rotatable element comprises two coils capable of being driven by oscillatory drive signals to generate electromagnetic fields. The coils are in different positions overlying a cylindrical portion of the rotatable element that has a target feature configured to interact with the generated electromagnetic fields when the target feature is aligned with the coils. Alignment between the target feature and the coils occurs at angular positions of the rotatable element that are offset for respective coils. Thus, by detecting a characteristic of the signals developed across the coils allowing derivation of an angular velocity signal representative of angular velocity. Also, the degree of interaction between the target feature and the electromagnetic fields varies with the axial position of the rotatable element, differentially between the coils, allowing derivation of an axial position signal representative of the axial position of the rotatable element.