Since the 1960s in Italy and Germany the notion has prevailed that ‘the state’ has given support to right-wing terrorism. This article challenges such views by examining the internal dynamics of right-wing terrorism in both countries with reference to Ehud Sprinzak's theory of ‘split delegitimisation’. To explain the different scale of Italian and West German terrorism one must analyse personnel continuities, the nature of the perceived ‘communist threat’, as well as the national political culture. Thus, without neglecting state support for the far right, this article emphasises how the internal dynamics of terrorist groups respond to political and social frameworks. Only if we acknowledge that right-wing terrorist groups possess their own agency can we fully understand their development. This is even more urgent in a time when – once again – the far right is on the rise in Europe.