The emission line arising from a transition of an electron from the iron K shell to the ground state (the K line) is prominent in the reflection spectrum of the hard X-ray continuum irradiating dense accreting matter around a black hole. The corresponding iron L-line emission should be detectable when iron abundance is high. That's the theory, and now broad iron L-line emission has been observed, together with the broad K line in the narrow-line Seyfert galaxy 1H0707. There is a reverberation lag of about 30 s between the direct X-ray continuum and its reflection from matter falling into the hole, a timescale comparable to the light-crossing time of the innermost radii around a supermassive black hole. This discovery opens a window on events close to the black hole event horizon in these objects. Emission arising from a transition of an electron from the iron K shell to the ground state (the K line) is prominent in the reflection spectrum created by the hard X-ray continuum irradiating the dense accreting matter around a black hole. Here the presence of both iron K and L emission is reported in the spectrum of the active galaxy 1H 0707-495. There is a 'reverberation lag' with a timescale comparable to the light-crossing time of the innermost radii around a supermassive black hole. Since the 1995 discovery of the broad iron K-line emission from the Seyfert galaxy MCG–6-30-15 (ref. 1), broad iron K lines have been found in emission from several other Seyfert galaxies2, from accreting stellar-mass black holes3 and even from accreting neutron stars4. The iron K line is prominent in the reflection spectrum5,6 created by the hard-X-ray continuum irradiating dense accreting matter. Relativistic distortion7 of the line makes it sensitive to the strong gravity and spin of the black hole8. The accompanying iron L-line emission should be detectable when the iron abundance is high. Here we report the presence of both iron K and iron L emission in the spectrum of the narrow-line Seyfert 1 galaxy9 1H 0707-495. The bright iron L emission has enabled us to detect a reverberation lag of about 30 s between the direct X-ray continuum and its reflection from matter falling into the black hole. The observed reverberation timescale is comparable to the light-crossing time of the innermost radii around a supermassive black hole. The combination of spectral and timing data on 1H 0707-495 provides strong evidence that we are witnessing emission from matter within a gravitational radius, or a fraction of a light minute, from the event horizon of a rapidly spinning, massive black hole.