Thsi chapter considers territory in European politics. The idea is that policy-making in Europe acts like a system of multilevel governance. Here, policy authority which exists at the national level, is increasingly being shared with institutions at the supranational European Union (EU) level and by regional governments at the subnational level. The chapter also looks at concepts such as pooling, delegation of policy authority, federalism, and decentralization. Although we tend to think of nation-states as the building blocks of modern politics, more and more, this chapter agues, we must consider how these so-called building blocks interact with each other and also what they themselves are made up of. This is where the term multilevel governance is relevant. This term characterizes the complex relationship of policy authority between political actors situated at different territorial levels of governance.