This paper summarizes the state-of-the-art with respect to wetlands for nutrient removal and biodiversity enhancement, as expressed at a research workshop in December 2002. In the end of 2002, 260 and 884 wetlands had been constructed in Sweden with subsidies from LIP and the European Union, respectively. Most frequently, the aims were to remove nutrients from water and enhance biodiversity. The question raised is if we know how to design multifunctional wetlands. Should a wetland be deep or shallow, with or without macrophytes to be an efficient nutrient sink? Diverging opinions are presented, but generally it appears that fairly shallow wetlands at least partly covered by emergent macrophytes are favourable. The importance of extreme high flows and hydraulic short-circuiting is highlighted, and Danish and Norwegian approaches to wetlands construction are presented. Also, there is a risk that nutrient retaining wetlands develop a fairly trivial flora and fauna unless special care is taken. Intentional establishment of desirable and less common species, as well as creation of a variation of depth gradients to favour such species are such measures. Others are allowing for water level variations, as well as vegetation management such as grazing and harvesting.