The European Communities requested this report as part of the review process of the Fifth Environmental Action Programme "Towards Sustainability" for which it serves as an update on the 1992 report on the state of the environment. The main conclusion reached is that the EU is making progress in reducing the pressures on the environment, but not enough to improve the general quality of the environment. Without accelerated policies, the pressures will remain, exceeding human health standards. Actions taken to date will not lead to full integration of environmental considerations into economic sectors or to sustainable development.