There is an increasing concern over the safety of engineered nanoparticles (ENPs) to humans and the environment and it is likely that the environmental risks of these particles will have to be tested under regulatory schemes such as REACH. Due to their unique properties and the fact that their detection and characterisation in complex matrices is challenging, existing analytical methods and test approaches for assessing environmental risk may not be appropriate for ENPs. In this article we discuss the challenges associated with the testing of ENPs to generate data on persistence, mobility, bioavailability and ecotoxicity in the environment. It is essential that careful consideration is given to the selection of the test material, the test system (including test vessels and study media) and the test exposure conditions. During a study it is critical that not only the concentration of the ENP is determined but also its characteristics (e.g. size, shape, degree of aggregation and dissolution). A range of analytical techniques is available including microscopy-based approaches (e.g transmission and scanning electron microscopy), dynamic light scattering, and size separation approaches (e.g. field flow fractionation and hydrodynamic chromatography) coupled to detection methods such as inductively coupled plasma MS. All of these have their disadvantages: some are unable to distinguish between ENPs and natural interferences; some techniques require sample preparation approaches that can introduce artefacts; and others are complex and time-consuming. A combination of techniques is therefore needed. Our knowledge in this area is still limited, and co-ordinated research is required to gain a better understanding of the factors and processes affecting ENP fate and effects in the environment as well as to develop more usable, robust and sensitive methods for characterisation and detection of ENPs in environmental systems.