diff --git a/client/modules/IDE/actions/collections.js b/client/modules/IDE/actions/collections.js
index 68a42f500d..e7acd513b1 100644
--- a/client/modules/IDE/actions/collections.js
+++ b/client/modules/IDE/actions/collections.js
@@ -65,6 +65,32 @@ export function createCollection(collection) {
   };
 }
 
+export function createCollectionAndRefresh(collection, username) {
+  return (dispatch) => {
+    dispatch(startLoader());
+    const url = '/collections';
+    return apiClient
+      .post(url, collection)
+      .then((response) => {
+        dispatch({ type: ActionTypes.CREATE_COLLECTION });
+        dispatch(stopLoader());
+
+        const newCollection = response.data;
+        dispatch(setToastText(`Created "${newCollection.name}"`));
+        dispatch(showToast(TOAST_DISPLAY_TIME_MS));
+
+        return dispatch(getCollections(username));
+      })
+      .catch((error) => {
+        dispatch({
+          type: ActionTypes.ERROR,
+          error: error?.response?.data
+        });
+        dispatch(stopLoader());
+      });
+  };
+}
+
 export function addToCollection(collectionId, projectId) {
   return (dispatch) => {
     dispatch(startLoader());
diff --git a/client/modules/IDE/components/AddToCollectionList.jsx b/client/modules/IDE/components/AddToCollectionList.jsx
index 75713367ee..86d7de0ad4 100644
--- a/client/modules/IDE/components/AddToCollectionList.jsx
+++ b/client/modules/IDE/components/AddToCollectionList.jsx
@@ -1,18 +1,21 @@
 import PropTypes from 'prop-types';
-import React, { useEffect, useState } from 'react';
+import React, { useEffect, useMemo, useState } from 'react';
 import { Helmet } from 'react-helmet';
 import { useTranslation } from 'react-i18next';
 import { useDispatch, useSelector } from 'react-redux';
 import styled from 'styled-components';
 import { Loader } from '../../App/components/Loader';
+import { Button } from '../../../common/Button';
+import { generateCollectionName } from '../../../utils/generateRandomName';
 import {
   addToCollection,
+  createCollectionAndRefresh,
   getCollections,
   removeFromCollection
 } from '../actions/collections';
 import getSortedCollections from '../selectors/collections';
 import QuickAddList from './QuickAddList';
-import { remSize } from '../../../theme';
+import { remSize, prop } from '../../../theme';
 
 export const CollectionAddSketchWrapper = styled.div`
   width: ${remSize(600)};
@@ -27,6 +30,29 @@ export const QuickAddWrapper = styled.div`
   height: 100%;
 `;
 
+const EmptyText = styled.p`
+  text-align: center;
+  color: ${prop('primaryTextColor')};
+  margin-bottom: ${remSize(16)};
+`;
+
+const CreateFormWrapper = styled.form`
+  display: flex;
+  align-items: center;
+  gap: ${remSize(8)};
+  margin-top: ${remSize(12)};
+`;
+
+const CreateInput = styled.input`
+  flex: 1;
+  padding: ${remSize(8)};
+  border: 1px solid ${prop('Button.primary.default.border')};
+  border-radius: 2px;
+  background-color: ${prop('inputSecondaryBackground')};
+  color: ${prop('primaryTextColor')};
+  font-size: ${remSize(14)};
+`;
+
 const AddToCollectionList = ({ projectId }) => {
   const { t } = useTranslation();
 
@@ -41,6 +67,10 @@ const AddToCollectionList = ({ projectId }) => {
   const [hasLoadedData, setHasLoadedData] = useState(false);
   const showLoader = loading && !hasLoadedData;
 
+  const [showCreateForm, setShowCreateForm] = useState(false);
+  const generatedName = useMemo(() => generateCollectionName(), []);
+  const [newCollectionName, setNewCollectionName] = useState(generatedName);
+
   useEffect(() => {
     dispatch(getCollections(username)).then(() => setHasLoadedData(true));
   }, [dispatch, username]);
@@ -53,6 +83,17 @@ const AddToCollectionList = ({ projectId }) => {
     dispatch(removeFromCollection(collection.id, projectId));
   };
 
+  const handleCreateCollection = (e) => {
+    e.preventDefault();
+    if (!newCollectionName.trim()) return;
+    dispatch(
+      createCollectionAndRefresh({ name: newCollectionName.trim() }, username)
+    ).then(() => {
+      setShowCreateForm(false);
+      setNewCollectionName(generateCollectionName());
+    });
+  };
+
   const collectionWithSketchStatus = collections.map((collection) => ({
     ...collection,
     url: `/${collection.owner.username}/collections/${collection.id}`,
@@ -63,7 +104,33 @@ const AddToCollectionList = ({ projectId }) => {
     if (showLoader) {
       return <Loader />;
     } else if (collections.length === 0) {
-      return t('AddToCollectionList.Empty');
+      return (
+        <div>
+          <EmptyText>{t('AddToCollectionList.Empty')}</EmptyText>
+          {showCreateForm ? (
+            <CreateFormWrapper onSubmit={handleCreateCollection}>
+              <CreateInput
+                type="text"
+                value={newCollectionName}
+                onChange={(e) => setNewCollectionName(e.target.value)}
+                placeholder={generatedName}
+                aria-label={t('AddToCollectionList.CollectionNameARIA')}
+              />
+              <Button
+                type="submit"
+                disabled={!newCollectionName.trim()}
+                onClick={handleCreateCollection}
+              >
+                {t('AddToCollectionList.CreateSubmit')}
+              </Button>
+            </CreateFormWrapper>
+          ) : (
+            <Button onClick={() => setShowCreateForm(true)}>
+              {t('AddToCollectionList.CreateCollection')}
+            </Button>
+          )}
+        </div>
+      );
     }
     return (
       <QuickAddList
diff --git a/translations/locales/en-US/translations.json b/translations/locales/en-US/translations.json
index 83abcd2a68..901bcc9ef3 100644
--- a/translations/locales/en-US/translations.json
+++ b/translations/locales/en-US/translations.json
@@ -526,7 +526,10 @@
   "AddToCollectionList": {
     "Title": "p5.js Web Editor | My collections",
     "AnothersTitle": "p5.js Web Editor | {{anotheruser}}'s collections",
-    "Empty": "No collections"
+    "Empty": "No collections",
+    "CreateCollection": "Create collection",
+    "CreateSubmit": "Create",
+    "CollectionNameARIA": "Collection name"
   },
   "CollectionCreate": {
     "Title": "p5.js Web Editor | Create collection",