Global food systems face the challenge of providing healthy and adequate nutrition through sustainable means, which is exacerbated by climate change and increasing protein demand by the world's growing population. Recent advances in novel food production technologies demonstrate potential solutions for improving the sustainability of food systems. Yet, diet-level comparisons are lacking and are needed to fully understand the environmental impacts of incorporating novel foods in diets. Here we estimate the possible reductions in global warming potential, water use and land use by replacing animal-source foods with novel or plant-based foods in European diets. Using a linear programming model, we optimized omnivore, vegan and novel food diets for minimum environmental impacts with nutrition and feasible consumption constraints. Replacing animal-source foods in current diets with novel foods reduced all environmental impacts by over 80% and still met nutrition and feasible consumption constraints. The environmental impacts of more sustainable diets vary across regions. Using linear optimization, this study compares the reductions of global warming potential, water use and land use associated with the replacement of animal-sourced foods with novel or plant-based foods in European diets. Three diet types were considered to meet nutritional adequacy and consumption constraints.