Miyun County, located in the northeast of Chinese capital Beijing, was underwent remarkable variations in land use in recent years. This paper aimed to detect changes in land use of Miyun from 1997 to 2005, and to qualify the response of ecosystem to LUCC based on ecosystem services valuation. With two-periods TM images, we got land use change data, and then ecosystem services values were calculated using ecosystem services valuation coefficients proposed by Chinese scholar Xie Gaodi. Results showed that water area, farm land and unused land decreased while residential land, forest land, grassland and orchard land increased during the study period. The loss of ESV was RMB 206 million and the main reason was the decrease of water area and farm land area. As for spatial variation, there were most dra- matically land use change and ESV decline in reservoir ecological protection region. The coefficient sensitivity analysis indicates that valuation coefficients used in the study are suitable and results are reasonable. The driving forces of ESV loss were rapid population growth and economic development. More work should be done to make eco-environment stay healthy.