Hi Gert,
Well thanks to your advice and knowing that there is no specific config to be done for Outlook, I checked the config in Dovecot more carefully. It turns out I was using %u in the mail location instead of %n, which is what is properly needed in my particular overall setup with Postfix and the way I have arranged the vmail folders.
So sorry for the noise, but perhaps this thread will help somebody in the future.
Andrew
Smells like a simple folder subscription issue from the client.