This study aimed at testing the hypothesis that free-floating plants may facilitate the growth of submerged plants under hypertrophic conditions and intermediate plant density. The effects of Lemna presence on the growth of two submerged plants (Elodea nuttallii and Ceratophyllum demersum) over a nitrogen gradient were experimentally investigated. This was complemented with analysing the presence of C. demersum and E. nuttallii in Hungary and in Germany in relation to the density of free-floating plants. Results showed a negative exponential pattern between underwater light intensity and Lemna cover. Ceratophyllum and Elodea relative growth rate decreased with increasing nitrogen concentrations and additional low Lemna density stimulated Ceratophyllum and suppressed Elodea. Elodea decreased linearly with Lemna density while Ceratophyllum showed a unimodal response. Total algal biomass (epiphytic and planktonic) was higher in Ceratophyllum than in Elodea treatments and decreased rapidly with increasing Lemna density. The field studies showed a positive relationship between Ceratophyllum and a negative one between Elodea and free-floating plant cover. This study clearly showed that free-floating plants can have either facilitating or inhibiting impact on the growth of submerged plants depending on cover density and macrophyte species. The facilitating effect on Ceratophyllum is most likely due to suppressing epiphytic algal growth.