Combining different experimental techniques, investigations in hexagonal P63/mmc Er2Fe17 show remarkable magnetovolume anomalies below the Curie temperature, TC. The spontaneous magnetostriction reaches 1.6×10−2 at 5 K and falls to zero well above TC, owing to short-range magnetic correlations. Moreover, Er2Fe17 exhibits direct and inverse magnetocaloric effects (MCE) with moderate isothermal magnetic entropy ΔSM, and adiabatic temperature ΔTad changes [ΔSM∼−4.7 J(kgK)−1 and ΔTad∼2.5 K near the TC, and ΔSM∼1.3 J(kgK)−1 and ΔTad∼−0.6 K at 40 K for ΔH=80 kOe, respectively, determined from magnetization measurements]. The existence of an inverse MCE seems to be related to a crystalline electric field-level crossover in the Er sublattice and the ferrimagnetic arrangement between the magnetic moments of the Er and Fe sublattice. The main trends found experimentally for the temperature dependence of ΔSM and ΔTad as well as for the atomic magnetic moments are qualitatively well described considering a mean-field Hamiltonian that incorporates both crystalline electric field and exchange interactions. ΔSM(T) and ΔTad(T) curves are essentially zero at ∼150 K, the temperature where the transition from direct to inverse MCE occurs. A possible interplay between the MCE and the magnetovolume anomalies is also discussed.