diff --git a/pyls/config.py b/pyls/config.py
index 595caab..311401b 100644
--- a/pyls/config.py
+++ b/pyls/config.py
@@ -15,14 +15,25 @@ class Config(object):
         self._root_uri = root_uri
         self._init_opts = init_opts
 
+        self._disabled_plugins = []
+        self._settings = {}
+
         self._pm = pluggy.PluginManager(PYLS)
         self._pm.trace.root.setwriter(log.debug)
         self._pm.enable_tracing()
         self._pm.add_hookspecs(hookspecs)
         self._pm.load_setuptools_entrypoints(PYLS)
+
         for name, plugin in self._pm.list_name_plugin():
             log.info("Loaded pyls plugin %s from %s", name, plugin)
 
+        for plugin_conf in self._pm.hook.pyls_settings(config=self):
+            self.update(plugin_conf)
+
+    @property
+    def disabled_plugins(self):
+        return self._disabled_plugins
+
     @property
     def plugin_manager(self):
         return self._pm
@@ -39,6 +50,18 @@ class Config(object):
         root_path = uris.to_fs_path(self._root_uri)
         return find_parents(root_path, path, names)
 
+    def update(self, settings):
+        """Recursively merge the given settings into the current settings."""
+        self._settings = _merge_dicts(self._settings, settings)
+        log.info("Updated settings to %s", self._settings)
+
+        # All plugins default to enabled
+        self._disabled_plugins = [
+            plugin for name, plugin in self.plugin_manager.list_name_plugin()
+            if not self._settings.get('plugins', {}).get(name, {}).get('enabled', True)
+        ]
+        log.info("Disabled plugins: %s", self._disabled_plugins)
+
 
 def build_config(key, config_files):
     """Parse configuration from the given files for the given key."""
@@ -91,3 +114,19 @@ def find_parents(root, path, names):
 
     # Otherwise nothing
     return []
+
+
+def _merge_dicts(dict_a, dict_b):
+    """Recursively merge dictionary b into dictionary a."""
+    def _merge_dicts_(a, b):
+        for key in set(a.keys()).union(b.keys()):
+            if key in a and key in b:
+                if isinstance(a[key], dict) and isinstance(b[key], dict):
+                    yield (key, dict(_merge_dicts_(a[key], b[key])))
+                else:
+                    yield (key, b[key])
+            elif key in a:
+                yield (key, a[key])
+            else:
+                yield (key, b[key])
+    return dict(_merge_dicts_(dict_a, dict_b))
diff --git a/pyls/hookspecs.py b/pyls/hookspecs.py
index 14c2e52..dc89e5b 100644
--- a/pyls/hookspecs.py
+++ b/pyls/hookspecs.py
@@ -82,6 +82,11 @@ def pyls_references(config, workspace, document, position, exclude_declaration):
     pass
 
 
+@hookspec
+def pyls_settings(config):
+    pass
+
+
 @hookspec(firstresult=True)
 def pyls_signature_help(config, workspace, document, position):
     pass
diff --git a/pyls/python_ls.py b/pyls/python_ls.py
index 624e298..ab98c96 100644
--- a/pyls/python_ls.py
+++ b/pyls/python_ls.py
@@ -14,12 +14,9 @@ class PythonLanguageServer(LanguageServer):
     workspace = None
     config = None
 
-    @property
-    def _hooks(self):
-        return self.config.plugin_manager.hook
-
-    def _hook(self, hook, doc_uri=None, **kwargs):
+    def _hook(self, hook_name, doc_uri=None, **kwargs):
         doc = self.workspace.get_document(doc_uri) if doc_uri else None
+        hook = self.config.plugin_manager.subset_hook_caller(hook_name, self.config.disabled_plugins)
         return hook(config=self.config, workspace=self.workspace, document=doc, **kwargs)
 
     def capabilities(self):
@@ -37,7 +34,7 @@ class PythonLanguageServer(LanguageServer):
             'documentSymbolProvider': True,
             'definitionProvider': True,
             'executeCommandProvider': {
-                'commands': flatten(self._hook(self._hooks.pyls_commands))
+                'commands': flatten(self._hook('pyls_commands'))
             },
             'hoverProvider': True,
             'referencesProvider': True,
@@ -50,60 +47,58 @@ class PythonLanguageServer(LanguageServer):
     def initialize(self, root_uri, init_opts, _process_id):
         self.workspace = Workspace(root_uri, lang_server=self)
         self.config = config.Config(root_uri, init_opts)
-        self._hook(self._hooks.pyls_initialize)
+        self._hook('pyls_initialize')
 
     def code_actions(self, doc_uri, range, context):
-        return flatten(self._hook(self._hooks.pyls_code_actions, doc_uri, range=range, context=context))
+        return flatten(self._hook('pyls_code_actions', doc_uri, range=range, context=context))
 
     def code_lens(self, doc_uri):
-        return flatten(self._hook(self._hooks.pyls_code_lens, doc_uri))
+        return flatten(self._hook('pyls_code_lens', doc_uri))
 
     def completions(self, doc_uri, position):
-        completions = self._hook(self._hooks.pyls_completions, doc_uri, position=position)
+        completions = self._hook('pyls_completions', doc_uri, position=position)
         return {
             'isIncomplete': False,
             'items': flatten(completions)
         }
 
     def definitions(self, doc_uri, position):
-        return flatten(self._hook(self._hooks.pyls_definitions, doc_uri, position=position))
+        return flatten(self._hook('pyls_definitions', doc_uri, position=position))
 
     def document_symbols(self, doc_uri):
-        return flatten(self._hook(self._hooks.pyls_document_symbols, doc_uri))
+        return flatten(self._hook('pyls_document_symbols', doc_uri))
 
     def execute_command(self, command, arguments):
-        return self._hook(self._hooks.pyls_execute_command, command=command, arguments=arguments)
+        return self._hook('pyls_execute_command', command=command, arguments=arguments)
 
     def format_document(self, doc_uri):
-        return self._hook(self._hooks.pyls_format_document, doc_uri)
+        return self._hook('pyls_format_document', doc_uri)
 
     def format_range(self, doc_uri, range):
-        return self._hook(self._hooks.pyls_format_range, doc_uri, range=range)
+        return self._hook('pyls_format_range', doc_uri, range=range)
 
     def hover(self, doc_uri, position):
-        return self._hook(self._hooks.pyls_hover, doc_uri, position=position) or {'contents': ''}
+        return self._hook('pyls_hover', doc_uri, position=position) or {'contents': ''}
 
     @_utils.debounce(LINT_DEBOUNCE_S)
     def lint(self, doc_uri):
-        self.workspace.publish_diagnostics(doc_uri, flatten(self._hook(
-            self._hooks.pyls_lint, doc_uri
-        )))
+        self.workspace.publish_diagnostics(doc_uri, flatten(self._hook('pyls_lint', doc_uri)))
 
     def references(self, doc_uri, position, exclude_declaration):
         return flatten(self._hook(
-            self._hooks.pyls_references, doc_uri, position=position,
+            'pyls_references', doc_uri, position=position,
             exclude_declaration=exclude_declaration
         ))
 
     def signature_help(self, doc_uri, position):
-        return self._hook(self._hooks.pyls_signature_help, doc_uri, position=position)
+        return self._hook('pyls_signature_help', doc_uri, position=position)
 
     def m_text_document__did_close(self, textDocument=None, **_kwargs):
         self.workspace.rm_document(textDocument['uri'])
 
     def m_text_document__did_open(self, textDocument=None, **_kwargs):
         self.workspace.put_document(textDocument['uri'], textDocument['text'], version=textDocument.get('version'))
-        self._hook(self._hooks.pyls_document_did_open, textDocument['uri'])
+        self._hook('pyls_document_did_open', textDocument['uri'])
         self.lint(textDocument['uri'])
 
     def m_text_document__did_change(self, contentChanges=None, textDocument=None, **_kwargs):
@@ -151,8 +146,15 @@ class PythonLanguageServer(LanguageServer):
     def m_text_document__signature_help(self, textDocument=None, position=None, **_kwargs):
         return self.signature_help(textDocument['uri'], position)
 
+    def m_workspace__did_change_configuration(self, settings=None):
+        self.config.update((settings or {}).get('pyls'))
+        for doc_uri in self.workspace.documents:
+            self.lint(doc_uri)
+
     def m_workspace__did_change_watched_files(self, **_kwargs):
-        pass
+        # Externally changed files may result in changed diagnostics
+        for doc_uri in self.workspace.documents:
+            self.lint(doc_uri)
 
     def m_workspace__execute_command(self, command=None, arguments=None):
         return self.execute_command(command, arguments)
diff --git a/pyls/workspace.py b/pyls/workspace.py
index 4ce913c..caf4124 100644
--- a/pyls/workspace.py
+++ b/pyls/workspace.py
@@ -29,6 +29,10 @@ class Workspace(object):
         self._docs = {}
         self._lang_server = lang_server
 
+    @property
+    def documents(self):
+        return self._docs
+
     @property
     def root_path(self):
         return self._root_path
diff --git a/vscode-client/package.json b/vscode-client/package.json
index 53f1677..9cad08f 100644
--- a/vscode-client/package.json
+++ b/vscode-client/package.json
@@ -15,6 +15,18 @@
     "activationEvents": [
         "*"
     ],
+    "contributes": {
+        "configuration": {
+            "title": "Python Language Server Configuration",
+            "type": "object",
+            "properties": {
+                "pyls.plugins": {
+                    "type": "object",
+                    "description": "Configuration for pyls plugins. Configuration key is the pluggy plugin name."
+                }
+            }
+        }
+    },
     "main": "./out/extension",
     "scripts": {
         "vscode:prepublish": "tsc -p ./",
diff --git a/vscode-client/src/extension.ts b/vscode-client/src/extension.ts
index dd0fa37..40682fb 100644
--- a/vscode-client/src/extension.ts
+++ b/vscode-client/src/extension.ts
@@ -9,12 +9,16 @@ import * as net from 'net';
 import { workspace, Disposable, ExtensionContext } from 'vscode';
 import { LanguageClient, LanguageClientOptions, SettingMonitor, ServerOptions, ErrorAction, ErrorHandler, CloseAction, TransportKind } from 'vscode-languageclient';
 
-function startLangServer(command: string, documentSelector: string[]): Disposable {
+function startLangServer(command: string, args: string[], documentSelector: string[]): Disposable {
 	const serverOptions: ServerOptions = {
-		command: command,
+        command,
+        args,
 	};
 	const clientOptions: LanguageClientOptions = {
 		documentSelector: documentSelector,
+        synchronize: {
+            configurationSection: "pyls"
+        }
 	}
 	return new LanguageClient(command, serverOptions, clientOptions).start();
 }
@@ -39,7 +43,7 @@ function startLangServerTCP(addr: number, documentSelector: string[]): Disposabl
 }
 
 export function activate(context: ExtensionContext) {
-    context.subscriptions.push(startLangServer("pyls", ["python"]));
+    context.subscriptions.push(startLangServer("pyls", ["-v"], ["python"]));
     // For TCP
     // context.subscriptions.push(startLangServerTCP(2087, ["python"]));
 }

diff --git a/test/test_config.py b/test/test_config.py
index fe5510d..52beb28 100644
--- a/test/test_config.py
+++ b/test/test_config.py
@@ -1,5 +1,5 @@
 # Copyright 2017 Palantir Technologies, Inc.
-from pyls.config import find_parents
+from pyls.config import find_parents, _merge_dicts
 
 
 def test_find_parents(tmpdir):
@@ -8,3 +8,10 @@ def test_find_parents(tmpdir):
     test_cfg = tmpdir.ensure("test.cfg")
 
     assert find_parents(tmpdir.strpath, path.strpath, ["test.cfg"]) == [test_cfg.strpath]
+
+
+def test_merge_dicts():
+    assert _merge_dicts(
+        {'a': True, 'b': {'x': 123, 'y': {'hello': 'world'}}},
+        {'a': False, 'b': {'y': [], 'z': 987}}
+    ) == {'a': False, 'b': {'x': 123, 'y': [], 'z': 987}}

Support configuration for enabling/disabling/configuring plugins
As well as enabling/disabling everything, we want to:

* Pass pycodestyle / pyflakes configs
* Choose the style for Yapf (pep8, google, config file)
test/test_config.py::test_find_parents test/test_config.py::test_merge_dicts