Epithelial‐to‐mesenchymal transitions (EMTs) underlie cell plasticity required in embryonic development and frequently observed in advanced carcinogenesis. Transforming growth factor‐β (TGF‐β) induces EMT phenotypes in epithelial cells in vitro and has been associated with EMT in vivo. Here we report that expression of the hairy/enhancer‐of‐split‐related transcriptional repressor Hey1, and the Notch‐ligand Jagged1 (Jag1), was induced by TGF‐β at the onset of EMT in epithelial cells from mammary gland, kidney tubules, and epidermis. The HEY1 expression profile was biphasic, consisting of immediate‐early Smad3‐dependent, Jagged1/Notch‐independent activation, followed by delayed, indirect Jagged1/Notch‐dependent activation. TGF‐β‐induced EMT was blocked by RNA silencing of HEY1 or JAG1, and by chemical inactivation of Notch. The EMT phenotype, biphasic activation of Hey1, and delayed expression of Jag1 were induced by TGF‐β in wild‐type, but not in Smad3‐deficient, primary mouse kidney tubular epithelial cells. Our findings identify a new mechanism for functional integration of Jagged1/Notch signalling and coordinated activation of the Hey1 transcriptional repressor controlled by TGF‐β/Smad3, and demonstrate functional roles for Smad3, Hey1, and Jagged1/Notch in mediating TGF‐β‐induced EMT.