The article addresses the role the European Union plays in the agri-environmental policy and considers the co-financing of agri-environmental programmes in Germany. First, the development of measures taken under this policy is described from the 1980ies until the present Agenda 2000, taking especially into account the effects of financial promotion by the EU. In addition, a view on nature conservation and water protection reveals the sometimes conflicting interactions between agri-environmental measures and other areas and instruments of environmental policy. In a second part, three sections describe identified problems resulting from the influence of the EU: the effects on the choice and design of agri-environmental policy instruments in the Federal States of Germany, the uncertainties and contradictions resulting in the area of property rights, and the controversially rated income effects. The results are brought together and discussed with reference to the current debate on the disentanglement of agri-environmental policy. Finally, conclusions are drawn for the practical design of agri-environmental policy.