diff --git a/packages/frontend/@n8n/design-system/src/components/N8nInlineTextEdit/InlineTextEdit.test.ts b/packages/frontend/@n8n/design-system/src/components/N8nInlineTextEdit/InlineTextEdit.test.ts
index 94aef2b650..cc178f81ec 100644
--- a/packages/frontend/@n8n/design-system/src/components/N8nInlineTextEdit/InlineTextEdit.test.ts
+++ b/packages/frontend/@n8n/design-system/src/components/N8nInlineTextEdit/InlineTextEdit.test.ts
@@ -23,14 +23,21 @@ describe('N8nInlineTextEdit', () => {
 				modelValue: 'Test Value',
 			},
 		});
-		const input = wrapper.getByTestId('inline-edit-input');
 		const preview = wrapper.getByTestId('inline-edit-preview');
 
-		await wrapper.rerender({ modelValue: 'New Value' });
+		await userEvent.click(preview);
+
+		const input = wrapper.getByTestId('inline-edit-input');
+
+		await userEvent.clear(input);
 		await userEvent.type(input, 'Updated Value');
 		await userEvent.keyboard('{Enter}');
 
 		expect(preview).toHaveTextContent('Updated Value');
+
+		const emittedEvents = wrapper.emitted('update:model-value');
+		expect(emittedEvents).toBeDefined();
+		expect(emittedEvents?.[0]).toEqual(['Updated Value']);
 	});
 
 	it('should not update value on blur if input is empty', async () => {
@@ -39,9 +46,11 @@ describe('N8nInlineTextEdit', () => {
 				modelValue: 'Test Value',
 			},
 		});
-		const input = wrapper.getByTestId('inline-edit-input');
 		const preview = wrapper.getByTestId('inline-edit-preview');
 
+		await userEvent.click(preview);
+		const input = wrapper.getByTestId('inline-edit-input');
+
 		await userEvent.clear(input);
 		await userEvent.tab(); // Simulate blur
 
@@ -54,12 +63,31 @@ describe('N8nInlineTextEdit', () => {
 				modelValue: 'Test Value',
 			},
 		});
-		const input = wrapper.getByTestId('inline-edit-input');
 		const preview = wrapper.getByTestId('inline-edit-preview');
 
+		await userEvent.click(preview);
+		const input = wrapper.getByTestId('inline-edit-input');
+
+		await userEvent.clear(input);
 		await userEvent.type(input, 'Updated Value');
 		await userEvent.keyboard('{Escape}');
 
 		expect(preview).toHaveTextContent('Test Value');
 	});
+
+	it('should not emit update:model-value on blur when value unchanged', async () => {
+		const wrapper = renderComponent({
+			props: {
+				modelValue: 'Test Value',
+			},
+		});
+		const preview = wrapper.getByTestId('inline-edit-preview');
+
+		await userEvent.click(preview);
+
+		await userEvent.tab();
+
+		const emittedEvents = wrapper.emitted('update:model-value');
+		expect(emittedEvents).toBeUndefined();
+	});
 });
diff --git a/packages/frontend/@n8n/design-system/src/components/N8nInlineTextEdit/InlineTextEdit.vue b/packages/frontend/@n8n/design-system/src/components/N8nInlineTextEdit/InlineTextEdit.vue
index 2fd2fecd71..7b33d50b0a 100644
--- a/packages/frontend/@n8n/design-system/src/components/N8nInlineTextEdit/InlineTextEdit.vue
+++ b/packages/frontend/@n8n/design-system/src/components/N8nInlineTextEdit/InlineTextEdit.vue
@@ -25,6 +25,8 @@ const emit = defineEmits<{
 	'update:model-value': [value: string];
 }>();
 
+const newValue = ref(props.modelValue);
+const temp = ref(props.modelValue || props.placeholder);
 const editableRoot = useTemplateRef('editableRoot');
 
 function forceFocus() {
@@ -40,15 +42,15 @@ function forceCancel() {
 	}
 }
 
-defineExpose({ forceFocus, forceCancel });
-
 function onSubmit() {
 	if (newValue.value === '') {
 		newValue.value = props.modelValue;
 		temp.value = props.modelValue;
 		return;
 	}
-	emit('update:model-value', newValue.value);
+	if (newValue.value !== props.modelValue) {
+		emit('update:model-value', newValue.value);
+	}
 }
 
 function onInput(value: string) {
@@ -62,9 +64,6 @@ function onStateChange(state: string) {
 }
 
 // Resize logic
-const newValue = ref(props.modelValue);
-const temp = ref(props.modelValue || props.placeholder);
-
 const measureSpan = useTemplateRef('measureSpan');
 const { width: measuredWidth } = useElementSize(measureSpan);
 
@@ -85,6 +84,8 @@ const computedInlineStyles = computed(() => {
 		zIndex: 1,
 	};
 });
+
+defineExpose({ forceFocus, forceCancel });
 </script>
 
 <template>