diff --git a/.changeset/fast-spoons-relax.md b/.changeset/fast-spoons-relax.md
new file mode 100644
index 0000000000..5a94a2c1ed
--- /dev/null
+++ b/.changeset/fast-spoons-relax.md
@@ -0,0 +1,5 @@
+---
+'@backstage/backend-plugin-api': patch
+---
+
+Added `createSharedEnvironment` for creating a shared environment containing commonly used services in a split backend setup of the backend.
diff --git a/.changeset/many-dogs-sin.md b/.changeset/many-dogs-sin.md
new file mode 100644
index 0000000000..7b50498b19
--- /dev/null
+++ b/.changeset/many-dogs-sin.md
@@ -0,0 +1,5 @@
+---
+'@backstage/backend-defaults': patch
+---
+
+Added support to supply a shared environment to `createBackend`, which can be created using `createSharedEnvironment` from `@backstage/backend-plugin-api`.
diff --git a/packages/backend-defaults/api-report.md b/packages/backend-defaults/api-report.md
index 6cc58de663..07218f610e 100644
--- a/packages/backend-defaults/api-report.md
+++ b/packages/backend-defaults/api-report.md
@@ -5,12 +5,15 @@
 ```ts
 import { Backend } from '@backstage/backend-app-api';
 import { ServiceFactoryOrFunction } from '@backstage/backend-plugin-api';
+import { SharedBackendEnvironment } from '@backstage/backend-plugin-api';
 
 // @public (undocumented)
 export function createBackend(options?: CreateBackendOptions): Backend;
 
 // @public (undocumented)
 export interface CreateBackendOptions {
+  // (undocumented)
+  env?: SharedBackendEnvironment;
   // (undocumented)
   services?: ServiceFactoryOrFunction[];
 }
diff --git a/packages/backend-defaults/package.json b/packages/backend-defaults/package.json
index d2bfd7038d..401c507ae2 100644
--- a/packages/backend-defaults/package.json
+++ b/packages/backend-defaults/package.json
@@ -36,6 +36,7 @@
     "@backstage/backend-plugin-api": "workspace:^"
   },
   "devDependencies": {
+    "@backstage/backend-test-utils": "workspace:^",
     "@backstage/cli": "workspace:^"
   },
   "files": [
diff --git a/packages/backend-defaults/src/CreateBackend.test.ts b/packages/backend-defaults/src/CreateBackend.test.ts
index 971ddc67ff..35b3a7decf 100644
--- a/packages/backend-defaults/src/CreateBackend.test.ts
+++ b/packages/backend-defaults/src/CreateBackend.test.ts
@@ -16,10 +16,17 @@
 
 import {
   coreServices,
+  createBackendPlugin,
   createServiceFactory,
+  createServiceRef,
+  createSharedEnvironment,
 } from '@backstage/backend-plugin-api';
+import { mockConfigFactory } from '@backstage/backend-test-utils';
 import { createBackend } from './CreateBackend';
 
+const fooServiceRef = createServiceRef<string>({ id: 'foo', scope: 'root' });
+const barServiceRef = createServiceRef<string>({ id: 'bar', scope: 'root' });
+
 describe('createBackend', () => {
   it('should not throw when overriding a default service implementation', () => {
     expect(() =>
@@ -69,4 +76,91 @@ describe('createBackend', () => {
       }),
     ).toThrow('The core.pluginMetadata service cannot be overridden');
   });
+
+  it('should throw if an unsupported InternalSharedEnvironment version is passed in', () => {
+    expect(() =>
+      createBackend({
+        env: {} as any,
+      }),
+    ).toThrow(
+      "Shared environment version 'undefined' is invalid or not supported",
+    );
+    expect(() =>
+      createBackend({
+        env: { version: {} } as any,
+      }),
+    ).toThrow(
+      "Shared environment version '[object Object]' is invalid or not supported",
+    );
+    expect(() =>
+      createBackend({
+        env: { version: 'v2' } as any,
+      }),
+    ).toThrow("Shared environment version 'v2' is invalid or not supported");
+  });
+
+  it('should prioritize services correctly', async () => {
+    const backend = createBackend({
+      env: createSharedEnvironment({
+        services: [
+          createServiceFactory({
+            service: coreServices.rootHttpRouter,
+            deps: {},
+            async factory() {
+              return {
+                use() {},
+              };
+            },
+          }),
+          mockConfigFactory({
+            data: { root: 'root-env' },
+          }),
+          createServiceFactory({
+            service: fooServiceRef,
+            deps: {},
+            async factory() {
+              return 'foo-env';
+            },
+          }),
+          createServiceFactory({
+            service: barServiceRef,
+            deps: {},
+            async factory() {
+              return 'bar-env';
+            },
+          }),
+        ],
+      })(),
+      services: [
+        createServiceFactory({
+          service: fooServiceRef,
+          deps: {},
+          factory: async () => 'foo-backend',
+        }),
+      ],
+    });
+
+    expect.assertions(3);
+    backend.add(
+      createBackendPlugin({
+        id: 'test',
+        register(reg) {
+          reg.registerInit({
+            deps: {
+              config: coreServices.config,
+              foo: fooServiceRef,
+              bar: barServiceRef,
+            },
+            async init({ config, foo, bar }) {
+              expect(config.get('root')).toBe('root-env');
+              expect(foo).toBe('foo-backend');
+              expect(bar).toBe('bar-env');
+            },
+          });
+        },
+      })(),
+    );
+
+    await backend.start();
+  });
 });
diff --git a/packages/backend-defaults/src/CreateBackend.ts b/packages/backend-defaults/src/CreateBackend.ts
index fe82fb671c..e6b5a15336 100644
--- a/packages/backend-defaults/src/CreateBackend.ts
+++ b/packages/backend-defaults/src/CreateBackend.ts
@@ -33,7 +33,15 @@ import {
   urlReaderFactory,
   identityFactory,
 } from '@backstage/backend-app-api';
-import { ServiceFactoryOrFunction } from '@backstage/backend-plugin-api';
+import {
+  ServiceFactory,
+  ServiceFactoryOrFunction,
+  SharedBackendEnvironment,
+} from '@backstage/backend-plugin-api';
+
+// Internal import of the type to avoid needing to export this.
+// eslint-disable-next-line monorepo/no-internal-import
+import type { InternalSharedBackendEnvironment } from '@backstage/backend-plugin-api/src/wiring/createSharedEnvironment';
 
 export const defaultServiceFactories = [
   cacheFactory(),
@@ -57,6 +65,7 @@ export const defaultServiceFactories = [
  * @public
  */
 export interface CreateBackendOptions {
+  env?: SharedBackendEnvironment;
   services?: ServiceFactoryOrFunction[];
 }
 
@@ -64,15 +73,35 @@ export interface CreateBackendOptions {
  * @public
  */
 export function createBackend(options?: CreateBackendOptions): Backend {
+  const services = new Array<ServiceFactory>();
+
+  // Highest priority: Services passed directly to createBackend
   const providedServices = (options?.services ?? []).map(sf =>
     typeof sf === 'function' ? sf() : sf,
   );
-  const providedIds = new Set(providedServices.map(sf => sf.service.id));
-  const neededDefaultFactories = defaultServiceFactories.filter(
-    sf => !providedIds.has(sf.service.id),
-  );
+  services.push(...providedServices);
 
-  return createSpecializedBackend({
-    services: [...neededDefaultFactories, ...providedServices],
-  });
+  // Middle priority: Services from the shared environment
+  if (options?.env) {
+    const env = options.env as unknown as InternalSharedBackendEnvironment;
+    if (env.version !== 'v1') {
+      throw new Error(
+        `Shared environment version '${env.version}' is invalid or not supported`,
+      );
+    }
+
+    const environmentServices =
+      env.services?.filter(
+        sf => !services.some(({ service }) => sf.service.id === service.id),
+      ) ?? [];
+    services.push(...environmentServices);
+  }
+
+  // Lowest priority: Default services that are not already provided by environment or directly to createBackend
+  const defaultServices = defaultServiceFactories.filter(
+    sf => !services.some(({ service }) => service.id === sf.service.id),
+  );
+  services.push(...defaultServices);
+
+  return createSpecializedBackend({ services });
 }
diff --git a/packages/backend-plugin-api/api-report.md b/packages/backend-plugin-api/api-report.md
index 931aba62a6..86917dae11 100644
--- a/packages/backend-plugin-api/api-report.md
+++ b/packages/backend-plugin-api/api-report.md
@@ -217,6 +217,15 @@ export function createServiceRef<TService>(
   config: ServiceRefConfig<TService, 'root'>,
 ): ServiceRef<TService, 'root'>;
 
+// @public
+export function createSharedEnvironment<
+  TOptions extends [options?: object] = [],
+>(
+  config:
+    | SharedBackendEnvironmentConfig
+    | ((...params: TOptions) => SharedBackendEnvironmentConfig),
+): (...options: TOptions) => SharedBackendEnvironment;
+
 // @public
 export interface DatabaseService {
   getClient(): Promise<Knex>;
@@ -467,6 +476,18 @@ export interface ServiceRefConfig<TService, TScope extends 'root' | 'plugin'> {
   scope?: TScope;
 }
 
+// @public (undocumented)
+export interface SharedBackendEnvironment {
+  // (undocumented)
+  $$type: 'SharedBackendEnvironment';
+}
+
+// @public (undocumented)
+export interface SharedBackendEnvironmentConfig {
+  // (undocumented)
+  services?: ServiceFactoryOrFunction[];
+}
+
 // @public
 export interface TokenManagerService {
   authenticate(token: string): Promise<void>;
diff --git a/packages/backend-plugin-api/src/wiring/createSharedEnvironment.test.ts b/packages/backend-plugin-api/src/wiring/createSharedEnvironment.test.ts
new file mode 100644
index 0000000000..ec2cf1fe49
--- /dev/null
+++ b/packages/backend-plugin-api/src/wiring/createSharedEnvironment.test.ts
@@ -0,0 +1,100 @@
+/*
+ * Copyright 2023 The Backstage Authors
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+import {
+  createServiceFactory,
+  createServiceRef,
+  ServiceFactoryOrFunction,
+} from '../services';
+import {
+  createSharedEnvironment,
+  InternalSharedBackendEnvironment,
+} from './createSharedEnvironment';
+
+const fooService = createServiceRef<string>({ id: 'foo', scope: 'root' });
+const fooFactory = createServiceFactory({
+  service: fooService,
+  deps: {},
+  async factory() {
+    return 'foo';
+  },
+});
+
+const barService = createServiceRef<number>({ id: 'bar', scope: 'root' });
+const barFactory = createServiceFactory({
+  service: barService,
+  deps: {},
+  async factory() {
+    return 0xba5;
+  },
+});
+
+describe('createSharedEnvironment', () => {
+  it('should create an empty shared environment', () => {
+    const env = createSharedEnvironment({});
+    expect(env).toBeDefined();
+    const internalEnv = env() as unknown as InternalSharedBackendEnvironment;
+    expect(internalEnv).toEqual({
+      $$type: 'SharedBackendEnvironment',
+      version: 'v1',
+      services: undefined,
+    });
+  });
+
+  it('should create a shared environment with services', () => {
+    const env = createSharedEnvironment({
+      services: [fooFactory, barFactory()],
+    });
+    const internalEnv = env() as unknown as InternalSharedBackendEnvironment;
+    expect(internalEnv.version).toBe('v1');
+    expect(internalEnv.services?.length).toBe(2);
+    expect(internalEnv.services?.[0]?.service.id).toBe('foo');
+    expect(internalEnv.services?.[1]?.service.id).toBe('bar');
+  });
+
+  it('should create a shared environment with options', () => {
+    const env = createSharedEnvironment((options?: { withFoo?: boolean }) => {
+      const services = new Array<ServiceFactoryOrFunction>();
+      if (options?.withFoo) {
+        services.push(fooFactory());
+      }
+      services.push(barFactory);
+      return { services };
+    });
+    const internalEnv1 = env() as unknown as InternalSharedBackendEnvironment;
+    expect(internalEnv1.version).toBe('v1');
+    expect(internalEnv1.services?.length).toBe(1);
+    expect(internalEnv1.services?.[0]?.service.id).toBe('bar');
+
+    const internalEnv2 = env({
+      withFoo: true,
+    }) as unknown as InternalSharedBackendEnvironment;
+    expect(internalEnv2.version).toBe('v1');
+    expect(internalEnv2.services?.length).toBe(2);
+    expect(internalEnv2.services?.[0]?.service.id).toBe('foo');
+    expect(internalEnv2.services?.[1]?.service.id).toBe('bar');
+  });
+
+  it('should not allow duplicate service factories', () => {
+    expect(() =>
+      createSharedEnvironment({
+        services: [fooFactory, fooFactory()],
+      })(),
+    ).toThrow(
+      "Duplicate service implementations provided in shared environment for 'foo'",
+    );
+  });
+});
diff --git a/packages/backend-plugin-api/src/wiring/createSharedEnvironment.ts b/packages/backend-plugin-api/src/wiring/createSharedEnvironment.ts
new file mode 100644
index 0000000000..3258188772
--- /dev/null
+++ b/packages/backend-plugin-api/src/wiring/createSharedEnvironment.ts
@@ -0,0 +1,90 @@
+/*
+ * Copyright 2023 The Backstage Authors
+ *
+ * Licensed under the Apache License, Version 2.0 (the "License");
+ * you may not use this file except in compliance with the License.
+ * You may obtain a copy of the License at
+ *
+ *     http://www.apache.org/licenses/LICENSE-2.0
+ *
+ * Unless required by applicable law or agreed to in writing, software
+ * distributed under the License is distributed on an "AS IS" BASIS,
+ * WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+ * See the License for the specific language governing permissions and
+ * limitations under the License.
+ */
+
+import { ServiceFactory, ServiceFactoryOrFunction } from '../services';
+
+/** @public */
+export interface SharedBackendEnvironmentConfig {
+  services?: ServiceFactoryOrFunction[];
+}
+
+// This type is opaque in order to allow for future API evolution without
+// cluttering the external API. For example we might want to add support
+// for more powerful callback based backend modifications.
+//
+// By making this opaque we also ensure that the type doesn't become an input
+// type that we need to care about, as it would otherwise be possible to pass
+// a custom environment definition to `createBackend`, which we don't want.
+/**
+ * @public
+ */
+export interface SharedBackendEnvironment {
+  $$type: 'SharedBackendEnvironment';
+}
+
+/**
+ * This type is NOT supposed to be used by anyone except internally by the backend-app-api package.
+ * @internal */
+export interface InternalSharedBackendEnvironment {
+  version: 'v1';
+  services?: ServiceFactory[];
+}
+
+/**
+ * Creates a shared backend environment which can be used to create multiple backends
+ * @public
+ */
+export function createSharedEnvironment<
+  TOptions extends [options?: object] = [],
+>(
+  config:
+    | SharedBackendEnvironmentConfig
+    | ((...params: TOptions) => SharedBackendEnvironmentConfig),
+): (...options: TOptions) => SharedBackendEnvironment {
+  const configCallback = typeof config === 'function' ? config : () => config;
+
+  return (...options) => {
+    const actualConfig = configCallback(...options);
+    const services = actualConfig?.services?.map(sf =>
+      typeof sf === 'function' ? sf() : sf,
+    );
+
+    const exists = new Set<string>();
+    const duplicates = new Set<string>();
+    for (const { service } of services ?? []) {
+      if (exists.has(service.id)) {
+        duplicates.add(service.id);
+      } else {
+        exists.add(service.id);
+      }
+    }
+
+    if (duplicates.size > 0) {
+      const dupStr = [...duplicates].map(id => `'${id}'`).join(', ');
+      throw new Error(
+        `Duplicate service implementations provided in shared environment for ${dupStr}`,
+      );
+    }
+
+    // Here to ensure type safety in this internal implementation.
+    const env: SharedBackendEnvironment & InternalSharedBackendEnvironment = {
+      $$type: 'SharedBackendEnvironment',
+      version: 'v1',
+      services,
+    };
+    return env;
+  };
+}
diff --git a/packages/backend-plugin-api/src/wiring/index.ts b/packages/backend-plugin-api/src/wiring/index.ts
index 6d8de91080..0d5999ad12 100644
--- a/packages/backend-plugin-api/src/wiring/index.ts
+++ b/packages/backend-plugin-api/src/wiring/index.ts
@@ -14,6 +14,11 @@
  * limitations under the License.
  */
 
+export { createSharedEnvironment } from './createSharedEnvironment';
+export type {
+  SharedBackendEnvironment,
+  SharedBackendEnvironmentConfig,
+} from './createSharedEnvironment';
 export type {
   BackendModuleConfig,
   BackendPluginConfig,
diff --git a/yarn.lock b/yarn.lock
index d3a4070936..360c97251c 100644
--- a/yarn.lock
+++ b/yarn.lock
@@ -3515,6 +3515,7 @@ __metadata:
   dependencies:
     "@backstage/backend-app-api": "workspace:^"
     "@backstage/backend-plugin-api": "workspace:^"
+    "@backstage/backend-test-utils": "workspace:^"
     "@backstage/cli": "workspace:^"
   languageName: unknown
   linkType: soft