diff --git a/release/scripts/startup/bl_ui/space_view3d.py b/release/scripts/startup/bl_ui/space_view3d.py
index e7f233cd196..c54d85e6fc5 100644
--- a/release/scripts/startup/bl_ui/space_view3d.py
+++ b/release/scripts/startup/bl_ui/space_view3d.py
@@ -4920,20 +4920,16 @@ class VIEW3D_PT_collections(Panel):
     bl_label = "Collections"
     bl_options = {'DEFAULT_CLOSED'}
 
-    def _draw_collection(self, layout, view_layer, collection, index):
-        need_separator = index
+    def _draw_collection(self, layout, view_layer, depth_limit, collection, index, depth):
+        depth = depth + 1
+        if depth > depth_limit:
+            return index
+
         for child in collection.children:
             index += 1
 
-            if child.exclude:
-                continue
-
-            if child.collection.hide_viewport:
-                continue
-
-            if need_separator:
-                layout.separator()
-                need_separator = False
+            if child.exclude or child.collection.hide_viewport:
+                index = self._draw_collection(layout, view_layer, depth_limit, child, index, depth)
 
             icon = 'BLANK1'
             # has_objects = True
@@ -4949,6 +4945,8 @@ class VIEW3D_PT_collections(Panel):
             sub = row.split(factor=0.98)
             subrow = sub.row()
             subrow.alignment = 'LEFT'
+            for i in range(depth - 1):
+                subrow.label(text="", icon='BLANK1')
             subrow.operator(
                 "object.hide_collection", text=child.name, icon=icon, emboss=False,
             ).collection_index = index
@@ -4959,8 +4957,7 @@ class VIEW3D_PT_collections(Panel):
             subrow.active = collection.is_visible  # Parent collection runtime visibility
             subrow.prop(child, "hide_viewport", text="", emboss=False)
 
-        for child in collection.children:
-            index = self._draw_collection(layout, view_layer, child, index)
+            index = self._draw_collection(layout, view_layer, depth_limit, child, index, depth)
 
         return index
 
@@ -4968,11 +4965,16 @@ class VIEW3D_PT_collections(Panel):
         layout = self.layout
         layout.use_property_split = False
 
+        view = context.space_data
+
         view_layer = context.view_layer
+        layout.prop(view, "collections_depth", text="Display Depth")
+        depth_limit = view.collections_depth
+
         # We pass index 0 here beause the index is increased
         # so the first real index is 1
         # And we start with index as 1 because we skip the master collection
-        self._draw_collection(layout, view_layer, view_layer.layer_collection, 0)
+        self._draw_collection(layout, view_layer, depth_limit, view_layer.layer_collection, 0, 0)
 
 
 class VIEW3D_PT_object_type_visibility(Panel):
diff --git a/source/blender/blenloader/intern/versioning_280.c b/source/blender/blenloader/intern/versioning_280.c
index 4b55364f0b1..10cd3e1a634 100644
--- a/source/blender/blenloader/intern/versioning_280.c
+++ b/source/blender/blenloader/intern/versioning_280.c
@@ -3510,5 +3510,18 @@ void blo_do_versions_280(FileData *fd, Library *UNUSED(lib), Main *bmain)
     LISTBASE_FOREACH (bArmature *, arm, &bmain->armatures) {
       arm->flag &= ~(ARM_FLAG_UNUSED_6);
     }
+
+    if (!DNA_struct_elem_find(fd->filesdna, "View3D", "int", "collections_depth")) {
+      for (bScreen *screen = bmain->screens.first; screen; screen = screen->id.next) {
+        for (ScrArea *area = screen->areabase.first; area; area = area->next) {
+          for (SpaceLink *sl = area->spacedata.first; sl; sl = sl->next) {
+            if (sl->spacetype == SPACE_VIEW3D) {
+              View3D *v3d = (View3D *)sl;
+              v3d->collections_depth = 2;
+            }
+          }
+        }
+      }
+    }
   }
 }
diff --git a/source/blender/editors/object/object_edit.c b/source/blender/editors/object/object_edit.c
index a390cf67cf5..045c664fe20 100644
--- a/source/blender/editors/object/object_edit.c
+++ b/source/blender/editors/object/object_edit.c
@@ -297,17 +297,11 @@ static int object_hide_collection_exec(bContext *C, wmOperator *op)
 
 #define COLLECTION_INVALID_INDEX -1
 
-void ED_collection_hide_menu_draw(const bContext *C, uiLayout *layout)
+static void collection_hide_menu_draw(ViewLayer *view_layer,
+                                      uiLayout *layout,
+                                      ListBase *layer_collections)
 {
-  ViewLayer *view_layer = CTX_data_view_layer(C);
-  LayerCollection *lc_scene = view_layer->layer_collections.first;
-
-  uiLayoutSetOperatorContext(layout, WM_OP_EXEC_REGION_WIN);
-
-  for (LayerCollection *lc = lc_scene->layer_collections.first; lc; lc = lc->next) {
-    int index = BKE_layer_collection_findindex(view_layer, lc);
-    uiLayout *row = uiLayoutRow(layout, false);
-
+  for (LayerCollection *lc = layer_collections->first; lc; lc = lc->next) {
     if (lc->flag & LAYER_COLLECTION_EXCLUDE) {
       continue;
     }
@@ -316,6 +310,9 @@ void ED_collection_hide_menu_draw(const bContext *C, uiLayout *layout)
       continue;
     }
 
+    const int index = BKE_layer_collection_findindex(view_layer, lc);
+    uiLayout *row = uiLayoutRow(layout, false);
+
     int icon = ICON_NONE;
     if (BKE_layer_collection_has_selected_objects(view_layer, lc)) {
       icon = ICON_LAYER_ACTIVE;
@@ -331,6 +328,19 @@ void ED_collection_hide_menu_draw(const bContext *C, uiLayout *layout)
                "collection_index",
                index);
   }
+
+  for (LayerCollection *lc = layer_collections->first; lc; lc = lc->next) {
+    collection_hide_menu_draw(view_layer, layout, &lc->layer_collections);
+  }
+}
+
+void ED_collection_hide_menu_draw(const bContext *C, uiLayout *layout)
+{
+  ViewLayer *view_layer = CTX_data_view_layer(C);
+  LayerCollection *lc_scene = view_layer->layer_collections.first;
+
+  uiLayoutSetOperatorContext(layout, WM_OP_EXEC_REGION_WIN);
+  collection_hide_menu_draw(view_layer, layout, &lc_scene->layer_collections);
 }
 
 static int object_hide_collection_invoke(bContext *C, wmOperator *op, const wmEvent *UNUSED(event))
diff --git a/source/blender/editors/space_view3d/space_view3d.c b/source/blender/editors/space_view3d/space_view3d.c
index c1891865d6d..1427b4c822b 100644
--- a/source/blender/editors/space_view3d/space_view3d.c
+++ b/source/blender/editors/space_view3d/space_view3d.c
@@ -286,6 +286,7 @@ static SpaceLink *view3d_new(const ScrArea *UNUSED(sa), const Scene *scene)
 
   v3d->bundle_size = 0.2f;
   v3d->bundle_drawtype = OB_PLAINAXES;
+  v3d->collections_depth = 2;
 
   /* stereo */
   v3d->stereo3d_camera = STEREO_3D_ID;
diff --git a/source/blender/makesdna/DNA_view3d_types.h b/source/blender/makesdna/DNA_view3d_types.h
index 31ffb3efebd..76337413497 100644
--- a/source/blender/makesdna/DNA_view3d_types.h
+++ b/source/blender/makesdna/DNA_view3d_types.h
@@ -268,7 +268,7 @@ typedef struct View3D {
 
   unsigned short local_view_uuid;
   char _pad6[2];
-  int layact DNA_DEPRECATED;
+  int collections_depth;
 
   /** Optional bool for 3d cursor to define center. */
   short ob_centre_cursor;
diff --git a/source/blender/makesrna/intern/rna_space.c b/source/blender/makesrna/intern/rna_space.c
index 2b51b1eee97..f4c0164af84 100644
--- a/source/blender/makesrna/intern/rna_space.c
+++ b/source/blender/makesrna/intern/rna_space.c
@@ -3959,6 +3959,14 @@ static void rna_def_space_view3d(BlenderRNA *brna)
   RNA_def_property_ui_text(prop, "Volume Alpha", "Opacity (alpha) of the cameras' frustum volume");
   RNA_def_property_update(prop, NC_SPACE | ND_SPACE_VIEW3D, NULL);
 
+  prop = RNA_def_property(srna, "collections_depth", PROP_INT, PROP_UNSIGNED);
+  RNA_def_property_ui_text(
+      prop, "Collections Depth", "Shows the collections panel in more or less detail");
+  RNA_def_property_int_default(prop, 2);
+  RNA_def_property_range(prop, 1, INT_MAX);
+  RNA_def_property_ui_range(prop, 1, 10, 1, 1);
+  RNA_def_property_update(prop, NC_SPACE | ND_SPACE_VIEW3D, NULL);
+
   {
     struct {
       const char *name;