This thesis aims to analyse and comment on the impact of large agri-environmental policy directives in the welfare of European citizens. THe focus of this thesis is on the Water Framework Directive which had as its orearching target to achieve Good Ecological Status for all European water bodies. The directive set out an integrated river basin management framework which in turn was at the juristiction of regional bodies to implement. The purpose of the theisis is to offer a balanced approach from both the social and the economic side of assessing such large pieces of legislation, without turning a blind eye to its shortcomings, while aknowledging its importance to the European Union goals. The approach of the thesis is anthropocentric, which is not always the case in neoclassical economic theory, which has influenced the design of the Water Framework Directive. The thesis prides itself in its analysis of the impacts of the directive during its design state and its implementation state as well. Finally, the thesis comments on its findings from the viewpoints of physical, social and economic sciences.In particular, the thesis attempts to answer the following questions:1. What are the real implications of large pieces of policy work such as the Water Framework Directive on human welfare?2. Which is, if any, the impact and value of scientific models in the design of case-specific agri-environmental policies for river basins?3. Are such directives cost-effective in their implementation in the regional level?4. Who benefits more from these directives, poorer or richer househlods?5. If individual perceptions on risk are taken into consideration, how well do these reflect the true threats to the water environment, and how that affects public consultation in the preparatory phase of such directives?6. How do European-set ecologcal and environmental indexes for the waters help European citizens realise the true threats to the water bodies in their region?