  We use 80922 galaxies in the Galaxy And Mass Assembly (GAMA) survey to
measure the galaxy luminosity function (LF) in different environments over the
redshift range 0.04<z<0.26. The depth and size of GAMA allows us to define
samples split by colour and redshift to measure the dependence of the LF on
environment, redshift and colour. We find that the LF varies smoothly with
overdensity, consistent with previous results, with little environmental
dependent evolution over the last 3 Gyrs. The modified GALFORM model
predictions agree remarkably well with our LFs split by environment,
particularly in the most overdense environments. The LFs predicted by the model
for both blue and red galaxies are consistent with GAMA for the environments
and luminosities at which such galaxies dominate. Discrepancies between the
model and the data seen in the faint end of the LF suggest too many faint red
galaxies are predicted, which is likely to be due to the over-quenching of
satellite galaxies. The excess of bright blue galaxies predicted in underdense
regions could be due to the implementation of AGN feedback not being
sufficiently effective in the lower mass halos.
