So I know that I can add an outline by going to type, and then selecting outlines.
But i was wondering how i would then change the colour of the font and the outline.
Do you mean to convert this type from editable text to non-editable (except for the shapes, with the pen tool) outlines, or did you mean to add a stroke around some of your live text? What you describe does the former.
To add an "outline" to live text select the text and add a stroke and stroke color.