We present a new recursive construction for difference matrices whose application allows us to improve some results by D. Jungnickel. For instance, we prove that for any Abelian p‐group G of type (n1, n2, …, nt) there exists a (G, pe, 1) difference matrix with e = ${\lfloor}{\Sigma _i n_i\over\max _i n_i}{\rfloor}.$ Also, we prove that for any group G there exists a (G, p, 1) difference matrix where p is the smallest prime dividing |G|. Difference matrices are then used for constructing, recursively, relative difference families. We revisit some constructions by M. J. Colbourn, C. J. Colbourn, D. Jungnickel, K. T. Phelps, and R. M. Wilson. Combining them we get, in particular, the existence of a multiplier (G, k, λ)‐DF for any Abelian group G of nonsquare‐free order, whenever there exists a (p, k, λ)‐DF for each prime p dividing |G|. Then we focus our attention on a recent construction by M. Jimbo. We improve this construction and prove, as a corollary, the existence of a (G, k, λ)‐DF for any group G under the same conditions as above. © 1998 John Wiley & Sons, Inc. J Combin Designs 6: 165–182, 1998