diff --git a/packages/web-app-search/src/portals/SearchBar.vue b/packages/web-app-search/src/portals/SearchBar.vue
index 8541c95480..44687e8507 100644
--- a/packages/web-app-search/src/portals/SearchBar.vue
+++ b/packages/web-app-search/src/portals/SearchBar.vue
@@ -24,7 +24,7 @@
       @update:model-value="updateTerm"
       @clear="onClear"
       @click="showPreview"
-      @keyup.esc="hideOptionsDrop"
+      @keyup.esc="onKeyUpEsc"
       @keyup.up="onKeyUpUp"
       @keyup.down="onKeyUpDown"
       @keyup.enter="onKeyUpEnter"
@@ -513,6 +513,14 @@ export default defineComponent({
     onKeyUpDown() {
       this.activePreviewIndex = this.findNextPreviewIndex(false)
     },
+    onKeyUpEsc() {
+      if (this.term) {
+        this.updateTerm('')
+        return
+      }
+      const inputElement = this.$el.getElementsByTagName('input')[0] as HTMLElement
+      inputElement.blur()
+    },
     getSearchResultForProvider(provider: SearchProvider) {
       return this.searchResults.find(({ providerId }) => providerId === provider.id)?.result
     },
diff --git a/packages/web-app-search/tests/unit/portals/SearchBar.spec.ts b/packages/web-app-search/tests/unit/portals/SearchBar.spec.ts
index a73246ed08..1dcf0f1565 100644
--- a/packages/web-app-search/tests/unit/portals/SearchBar.spec.ts
+++ b/packages/web-app-search/tests/unit/portals/SearchBar.spec.ts
@@ -251,6 +251,22 @@ describe('Search Bar portal component', () => {
     wrapper.vm.onSearchShortcut(keyEvent)
     textInput.remove()
   })
+  test('clears search term on key press esc while input has focus', async () => {
+    const { wrapper } = getMountedWrapper()
+    wrapper.find(selectors.searchInput).setValue('albert')
+    await flushPromises()
+    wrapper.find(selectors.searchInput).trigger('keyup.esc')
+    expect(wrapper.vm.term).toBe('')
+  })
+  test('unfocuses search input on key press esc when search term is empty', () => {
+    const { wrapper } = getMountedWrapper()
+    const blurSpy = vi.spyOn(
+      wrapper.find(selectors.searchInput).element as HTMLInputElement,
+      'blur'
+    )
+    wrapper.find(selectors.searchInput).trigger('keyup.esc')
+    expect(blurSpy).toHaveBeenCalled()
+  })
 })
 
 function getMountedWrapper({