Phylogenetic analyses of a range of gorgoderid trematodes based on ITS2 and partial 28S rDNA data lead us to propose the Degeneriinae n. subfam. for the genus Degeneria in recognition of its phylogenetic isolation and distinctive morphology and biology. The current concepts of the subfamilies Anaporrhutinae and Gorgoderinae were supported. Within the Gorgoderinae, the large genus Phyllodistomum is shown to be paraphyletic relative to Pseudophyllodistomum and Xystretrum. Notably, the clade of marine Phyllodistomum does not form a clade with the other marine genus, Xystretrum. Distinct clades within the Gorgoderinae correspond variously to identity of first intermediate host, form of cercaria and their marine or freshwater habitat. We are not yet in a position to propose separate genera for these clades.