diff --git a/src-tauri/src/main.rs b/src-tauri/src/main.rs
index ad8102d8..8f6e1f60 100644
--- a/src-tauri/src/main.rs
+++ b/src-tauri/src/main.rs
@@ -343,6 +343,22 @@ async fn create_workspace(
     emit_and_return(&window, "created_model", created_workspace)
 }
 
+#[tauri::command]
+async fn create_environment(
+    workspace_id: &str,
+    name: &str,
+    window: Window<Wry>,
+    db_instance: State<'_, Mutex<Pool<Sqlite>>>,
+) -> Result<models::Environment, String> {
+    let pool = &*db_instance.lock().await;
+    let data: HashMap<String, JsonValue> = HashMap::new();
+    let created_environment = models::create_environment(workspace_id, name, data, pool)
+        .await
+        .expect("Failed to create environment");
+
+    emit_and_return(&window, "created_model", created_environment)
+}
+
 #[tauri::command]
 async fn create_request(
     workspace_id: &str,
@@ -639,6 +655,7 @@ fn main() {
             })
         })
         .invoke_handler(tauri::generate_handler![
+            create_environment,
             create_request,
             create_workspace,
             delete_all_responses,
diff --git a/src-web/components/App.tsx b/src-web/components/App.tsx
index fc6f84f1..8160ce47 100644
--- a/src-web/components/App.tsx
+++ b/src-web/components/App.tsx
@@ -5,7 +5,6 @@ import { DndProvider } from 'react-dnd';
 import { HTML5Backend } from 'react-dnd-html5-backend';
 import { HelmetProvider } from 'react-helmet-async';
 import { AppRouter } from './AppRouter';
-import { DialogProvider } from './DialogContext';
 
 const queryClient = new QueryClient({
   logger: undefined,
@@ -24,12 +23,10 @@ export function App() {
       <MotionConfig transition={{ duration: 0.1 }}>
         <HelmetProvider>
           <DndProvider backend={HTML5Backend}>
-            <DialogProvider>
               <Suspense>
                 <AppRouter />
                 {/*<ReactQueryDevtools initialIsOpen={false} />*/}
               </Suspense>
-            </DialogProvider>
           </DndProvider>
         </HelmetProvider>
       </MotionConfig>
diff --git a/src-web/components/AppRouter.tsx b/src-web/components/AppRouter.tsx
index eda8655a..e2d1c2f0 100644
--- a/src-web/components/AppRouter.tsx
+++ b/src-web/components/AppRouter.tsx
@@ -6,6 +6,7 @@ import { GlobalHooks } from './GlobalHooks';
 import RouteError from './RouteError';
 import Workspace from './Workspace';
 import Workspaces from './Workspaces';
+import { DialogProvider } from './DialogContext';
 
 const router = createBrowserRouter([
   {
@@ -59,9 +60,9 @@ function WorkspaceOrRedirect() {
 
 function Layout() {
   return (
-    <>
+    <DialogProvider>
       <Outlet />
       <GlobalHooks />
-    </>
+    </DialogProvider>
   );
 }
diff --git a/src-web/components/DialogContext.tsx b/src-web/components/DialogContext.tsx
index 5b0f1021..cc89d00d 100644
--- a/src-web/components/DialogContext.tsx
+++ b/src-web/components/DialogContext.tsx
@@ -1,6 +1,8 @@
 import React, { createContext, useContext, useMemo, useState } from 'react';
 import type { DialogProps } from './core/Dialog';
 import { Dialog } from './core/Dialog';
+import { useActiveWorkspace } from '../hooks/useActiveWorkspace';
+import { useActiveWorkspaceId } from '../hooks/useActiveWorkspaceId';
 
 type DialogEntry = {
   id: string;
@@ -54,9 +56,11 @@ export const DialogProvider = ({ children }: { children: React.ReactNode }) => {
 
 function DialogInstance({ id, render, ...props }: DialogEntry) {
   const { actions } = useContext(DialogContext);
+  const children = render({ hide: () => actions.hide(id) });
+  console.log("ACITEV WORKSPAXCE ID 2", useActiveWorkspaceId());
   return (
     <Dialog open onClose={() => actions.hide(id)} {...props}>
-      {render({ hide: () => actions.hide(id) })}
+      {children}
     </Dialog>
   );
 }
diff --git a/src-web/components/EnvironmentEditDialog.tsx b/src-web/components/EnvironmentEditDialog.tsx
new file mode 100644
index 00000000..50261475
--- /dev/null
+++ b/src-web/components/EnvironmentEditDialog.tsx
@@ -0,0 +1,69 @@
+import { useState } from 'react';
+import { useCreateEnvironment } from '../hooks/useCreateEnvironment';
+import { useEnvironments } from '../hooks/useEnvironments';
+import { usePrompt } from '../hooks/usePrompt';
+import { useUpdateEnvironment } from '../hooks/useUpdateEnvironment';
+import type { Environment } from '../lib/models';
+import { Button } from './core/Button';
+import { Editor } from './core/Editor';
+import classnames from 'classnames';
+
+export const EnvironmentEditDialog = function () {
+  const prompt = usePrompt();
+  const environments = useEnvironments();
+  const createEnvironment = useCreateEnvironment();
+  const [activeEnvironment, setActiveEnvironment] = useState<Environment | null>(null);
+
+  return (
+    <div className="h-full grid gap-3 grid-cols-[auto_minmax(0,1fr)]">
+      <aside className="h-full min-w-[120px] pr-3 border-r border-gray-200">
+        {environments.map((e) => (
+          <Button
+            className={classnames('w-full', activeEnvironment?.id === e.id && 'bg-highlight')}
+            justify="start"
+            key={e.id}
+            onClick={() => {
+              setActiveEnvironment(e);
+            }}
+          >
+            {e.name}
+          </Button>
+        ))}
+        <Button
+          color="gray"
+          onClick={async () => {
+            const name = await prompt({
+              title: 'Environment Name',
+              defaultValue: 'My Env',
+              label: 'Name',
+              name: 'environment',
+            });
+            createEnvironment.mutate({ name });
+          }}
+        >
+          Create Environment
+        </Button>
+      </aside>
+      {activeEnvironment != null && <EnvironmentEditor environment={activeEnvironment} />}
+    </div>
+  );
+};
+
+const EnvironmentEditor = function ({ environment }: { environment: Environment }) {
+  const updateEnvironment = useUpdateEnvironment(environment.id);
+  return (
+    <Editor
+      contentType="application/json"
+      className="w-full min-h-[40px] !bg-gray-50"
+      defaultValue={JSON.stringify(environment.data, null, 2)}
+      forceUpdateKey={environment.id}
+      onChange={(data) => {
+        try {
+          updateEnvironment.mutate({ data: JSON.parse(data) });
+        } catch (err) {
+          // That's okay
+        }
+      }}
+    />
+  );
+};
diff --git a/src-web/components/Overlay.tsx b/src-web/components/Overlay.tsx
index 0751ad97..2efd2bb1 100644
--- a/src-web/components/Overlay.tsx
+++ b/src-web/components/Overlay.tsx
@@ -40,7 +40,7 @@ export function Overlay({ zIndex = 30, open, onClose, portalName, children }: Pr
             {children}
           </motion.div>
         </FocusTrap>
-      )}
+      )} 
     </Portal>
   );
 }
diff --git a/src-web/components/WorkspaceHeader.tsx b/src-web/components/WorkspaceHeader.tsx
index 860d46fb..f4589a51 100644
--- a/src-web/components/WorkspaceHeader.tsx
+++ b/src-web/components/WorkspaceHeader.tsx
@@ -9,17 +9,13 @@ import { SidebarActions } from './SidebarActions';
 import { WorkspaceActionsDropdown } from './WorkspaceActionsDropdown';
 import { Button } from './core/Button';
 import { useDialog } from './DialogContext';
-import { useEnvironments } from '../hooks/useEnvironments';
-import type { Environment } from '../lib/models';
-import { Editor } from './core/Editor';
-import { useUpdateEnvironment } from '../hooks/useUpdateEnvironment';
+import { EnvironmentEditDialog } from './EnvironmentEditDialog';
 
 interface Props {
   className?: string;
 }
 
 export const WorkspaceHeader = memo(function WorkspaceHeader({ className }: Props) {
-  const environments = useEnvironments();
   const activeRequest = useActiveRequest();
   const dialog = useDialog();
 
@@ -35,14 +31,8 @@ export const WorkspaceHeader = memo(function WorkspaceHeader({ className }: Prop
         <Button onClick={() => {
           dialog.show({
             title: 'Environments',
-            render: () => <div>
-              {environments.map(e => (
-                <EnvironmentList
-                  key={e.id}
-                  environment={e}
-                />
-              ))}
-            </div>
+            size: 'full',
+            render: () => <EnvironmentEditDialog />,
           })
         }}>
           Environments
@@ -66,28 +56,3 @@ export const WorkspaceHeader = memo(function WorkspaceHeader({ className }: Prop
     </HStack>
   );
 });
-
-interface EnvironmentListProps {
-  environment: Environment;
-}
-
-const EnvironmentList = function({ environment }: EnvironmentListProps) {
-  const updateEnvironment = useUpdateEnvironment(environment.id)
-  return (
-    <div>
-      <h1>{environment.name}</h1>
-      <Editor
-        contentType="application/json"
-        className='w-full h-[400px] !bg-gray-50'
-        defaultValue={JSON.stringify(environment.data, null, 2)}
-        onChange={data => {
-          try {
-            updateEnvironment.mutate({ data: JSON.parse(data) });
-          } catch (err) {
-            // That's okay
-          }
-        }}
-      />
-    </div>
-  );
-};
diff --git a/src-web/components/core/Dialog.tsx b/src-web/components/core/Dialog.tsx
index 4a960242..b77c314c 100644
--- a/src-web/components/core/Dialog.tsx
+++ b/src-web/components/core/Dialog.tsx
@@ -54,11 +54,11 @@ export function Dialog({
             className={classnames(
               className,
               'relative bg-gray-50 pointer-events-auto',
-              'max-h-[80vh] p-5 rounded-lg overflow-auto',
+              'p-5 rounded-lg overflow-auto',
               'dark:border border-highlight shadow shadow-black/10',
-              size === 'sm' && 'w-[25rem]',
-              size === 'md' && 'w-[45rem]',
-              size === 'full' && 'w-[80vw]',
+              size === 'sm' && 'w-[25rem] max-h-[80vh]',
+              size === 'md' && 'w-[45rem] max-h-[80vh]',
+              size === 'full' && 'w-[calc(100vw-8em)] h-[calc(100vh-8em)]',
               size === 'dynamic' && 'min-w-[30vw] max-w-[80vw]',
             )}
           >
@@ -66,7 +66,7 @@ export function Dialog({
               {title}
             </Heading>
             {description && <p id={descriptionId}>{description}</p>}
-            <div className="mt-4">{children}</div>
+            <div className="h-full w-full mt-4">{children}</div>
 
             {/*Put close at the end so that it's the last thing to be tabbed to*/}
             {!hideX && (
diff --git a/src-web/hooks/useCreateEnvironment.ts b/src-web/hooks/useCreateEnvironment.ts
new file mode 100644
index 00000000..e7d2023d
--- /dev/null
+++ b/src-web/hooks/useCreateEnvironment.ts
@@ -0,0 +1,22 @@
+import { useMutation, useQueryClient } from '@tanstack/react-query';
+import { invoke } from '@tauri-apps/api';
+import type { Environment } from '../lib/models';
+import { environmentsQueryKey } from './useEnvironments';
+import { useActiveWorkspaceId } from './useActiveWorkspaceId';
+
+export function useCreateEnvironment() {
+  const workspaceId = useActiveWorkspaceId();
+  const queryClient = useQueryClient();
+  return useMutation<Environment, unknown, Pick<Environment, 'name'>>({
+    mutationFn: (patch) => {
+      return invoke('create_environment', { ...patch, workspaceId });
+    },
+    onSuccess: async (environment) => {
+      if (workspaceId == null) return;
+      queryClient.setQueryData<Environment[]>(environmentsQueryKey({ workspaceId }), (environments) => [
+        ...(environments ?? []),
+        environment,
+      ]);
+    },
+  });
+}