diff --git a/.changeset/breezy-socks-cross.md b/.changeset/breezy-socks-cross.md
new file mode 100644
index 0000000000..41bc7f9cdc
--- /dev/null
+++ b/.changeset/breezy-socks-cross.md
@@ -0,0 +1,5 @@
+---
+'@backstage/plugin-scaffolder-backend-module-gitlab': patch
+---
+
+fix: Creating a repository in a user namespace would always lead to an error
diff --git a/plugins/scaffolder-backend-module-gitlab/src/actions/gitlab.test.ts b/plugins/scaffolder-backend-module-gitlab/src/actions/gitlab.test.ts
index e255652f15..e7ceaa3ed7 100644
--- a/plugins/scaffolder-backend-module-gitlab/src/actions/gitlab.test.ts
+++ b/plugins/scaffolder-backend-module-gitlab/src/actions/gitlab.test.ts
@@ -44,6 +44,7 @@ const mockGitlabClient = {
   },
   Users: {
     showCurrentUser: jest.fn(),
+    allProjects: jest.fn(),
   },
   ProjectMembers: {
     add: jest.fn(),
@@ -211,7 +212,7 @@ describe('publish:gitlab', () => {
     expect(mockGitlabClient.ProtectedBranches.protect).not.toHaveBeenCalled();
   });
 
-  it('should call the correct Gitlab APIs when the owner is an organization', async () => {
+  it('should call the correct Gitlab APIs when the owner is a group', async () => {
     mockGitlabClient.Users.showCurrentUser.mockResolvedValue({ id: 12345 });
     mockGitlabClient.Namespaces.show.mockResolvedValue({ id: 1234 });
     mockGitlabClient.Groups.allProjects.mockResolvedValue([]);
@@ -232,16 +233,18 @@ describe('publish:gitlab', () => {
     expect(mockGitlabClient.ProtectedBranches.protect).not.toHaveBeenCalled();
   });
 
-  it('should call the correct Gitlab APIs when the owner is not an organization', async () => {
+  it('should call the correct Gitlab APIs when the owner is a user', async () => {
     mockGitlabClient.Namespaces.show.mockResolvedValue({ id: null });
     mockGitlabClient.Users.showCurrentUser.mockResolvedValue({ id: 12345 });
-    mockGitlabClient.Groups.allProjects.mockResolvedValue([]);
+    mockGitlabClient.Groups.allProjects.mockRejectedValue({});
+    mockGitlabClient.Users.allProjects.mockResolvedValue([]);
     mockGitlabClient.Projects.create.mockResolvedValue({
       http_url_to_repo: 'http://mockurl.git',
     });
 
     await action.handler(mockContext);
 
+    expect(mockGitlabClient.Groups.allProjects).not.toHaveBeenCalled();
     expect(mockGitlabClient.Namespaces.show).toHaveBeenCalledWith('owner');
     expect(mockGitlabClient.Projects.create).toHaveBeenCalledWith({
       namespaceId: 12345,
@@ -253,9 +256,12 @@ describe('publish:gitlab', () => {
     expect(mockGitlabClient.ProtectedBranches.protect).not.toHaveBeenCalled();
   });
 
-  it('should not call the creation Gitlab APIs when the repository already exists', async () => {
+  it('should not call the creation Gitlab APIs when the repository already exists in a group', async () => {
     mockGitlabClient.Users.showCurrentUser.mockResolvedValue({ id: 12345 });
-    mockGitlabClient.Namespaces.show.mockResolvedValue({ id: 1234 });
+    mockGitlabClient.Namespaces.show.mockResolvedValue({
+      id: 1234,
+      kind: 'group',
+    });
     mockGitlabClient.Groups.allProjects.mockResolvedValue([
       {
         path: 'repo',
@@ -278,9 +284,41 @@ describe('publish:gitlab', () => {
     expect(mockGitlabClient.ProtectedBranches.protect).not.toHaveBeenCalled();
   });
 
+  it('should not call the creation Gitlab APIs when the repository already exists in a user namespace', async () => {
+    mockGitlabClient.Users.showCurrentUser.mockResolvedValue({ id: 12345 });
+    mockGitlabClient.Namespaces.show.mockResolvedValue({
+      id: 12345,
+      kind: 'user',
+    });
+    mockGitlabClient.Users.allProjects.mockResolvedValue([
+      {
+        path: 'repo',
+        http_url_to_repo: 'http://mockurl.git',
+      },
+      {
+        path: 'repo-name',
+        http_url_to_repo: 'http://mockurl.git',
+      },
+    ]);
+
+    await action.handler({
+      ...mockContext,
+      input: { ...mockContext.input, skipExisting: true },
+    });
+
+    expect(mockGitlabClient.Groups.allProjects).not.toHaveBeenCalled();
+    expect(mockGitlabClient.Namespaces.show).toHaveBeenCalledWith('owner');
+    expect(mockGitlabClient.Projects.create).not.toHaveBeenCalled();
+    expect(mockGitlabClient.Branches.create).not.toHaveBeenCalled();
+    expect(mockGitlabClient.ProtectedBranches.protect).not.toHaveBeenCalled();
+  });
+
   it('should call the creation Gitlab APIs when the repository does not yet exists', async () => {
     mockGitlabClient.Users.showCurrentUser.mockResolvedValue({ id: 12345 });
-    mockGitlabClient.Namespaces.show.mockResolvedValue({ id: 1234 });
+    mockGitlabClient.Namespaces.show.mockResolvedValue({
+      id: 1234,
+      kind: 'group',
+    });
     mockGitlabClient.Groups.allProjects.mockResolvedValue([
       {
         path: 'repo-name',
@@ -305,7 +343,10 @@ describe('publish:gitlab', () => {
 
   it('should call the correct Gitlab APIs when using project settings with override of visibility and topics', async () => {
     mockGitlabClient.Users.showCurrentUser.mockResolvedValue({ id: 12345 });
-    mockGitlabClient.Namespaces.show.mockResolvedValue({ id: 1234 });
+    mockGitlabClient.Namespaces.show.mockResolvedValue({
+      id: 1234,
+      kind: 'group',
+    });
     mockGitlabClient.Groups.allProjects.mockResolvedValue([]);
     mockGitlabClient.Projects.create.mockResolvedValue({
       http_url_to_repo: 'http://mockurl.git',
@@ -327,7 +368,10 @@ describe('publish:gitlab', () => {
 
   it('should call the correct Gitlab APIs for branches and protectd branches when branch settings provided', async () => {
     mockGitlabClient.Users.showCurrentUser.mockResolvedValue({ id: 12345 });
-    mockGitlabClient.Namespaces.show.mockResolvedValue({ id: 1234 });
+    mockGitlabClient.Namespaces.show.mockResolvedValue({
+      id: 1234,
+      kind: 'group',
+    });
     mockGitlabClient.Groups.allProjects.mockResolvedValue([]);
     mockGitlabClient.Projects.create.mockResolvedValue({
       id: 123456,
@@ -368,7 +412,10 @@ describe('publish:gitlab', () => {
 
   it('should call the correct Gitlab APIs for variables when their configuration is provided', async () => {
     mockGitlabClient.Users.showCurrentUser.mockResolvedValue({ id: 12345 });
-    mockGitlabClient.Namespaces.show.mockResolvedValue({ id: 1234 });
+    mockGitlabClient.Namespaces.show.mockResolvedValue({
+      id: 1234,
+      kind: 'group',
+    });
     mockGitlabClient.Groups.allProjects.mockResolvedValue([]);
     mockGitlabClient.Projects.create.mockResolvedValue({
       id: 123456,
@@ -401,7 +448,10 @@ describe('publish:gitlab', () => {
 
   it('should call initRepoAndPush with the correct values', async () => {
     mockGitlabClient.Users.showCurrentUser.mockResolvedValue({ id: 12345 });
-    mockGitlabClient.Namespaces.show.mockResolvedValue({ id: 1234 });
+    mockGitlabClient.Namespaces.show.mockResolvedValue({
+      id: 1234,
+      kind: 'group',
+    });
     mockGitlabClient.Groups.allProjects.mockResolvedValue([]);
     mockGitlabClient.Projects.create.mockResolvedValue({
       http_url_to_repo: 'http://mockurl.git',
@@ -422,7 +472,10 @@ describe('publish:gitlab', () => {
 
   it('should not call initRepoAndPush when sourcePath is false', async () => {
     mockGitlabClient.Users.showCurrentUser.mockResolvedValue({ id: 12345 });
-    mockGitlabClient.Namespaces.show.mockResolvedValue({ id: 1234 });
+    mockGitlabClient.Namespaces.show.mockResolvedValue({
+      id: 1234,
+      kind: 'group',
+    });
     mockGitlabClient.Groups.allProjects.mockResolvedValue([]);
     mockGitlabClient.Projects.create.mockResolvedValue({
       http_url_to_repo: 'http://mockurl.git',
@@ -446,7 +499,10 @@ describe('publish:gitlab', () => {
 
   it('should call initRepoAndPush with the correct default branch', async () => {
     mockGitlabClient.Users.showCurrentUser.mockResolvedValue({ id: 12345 });
-    mockGitlabClient.Namespaces.show.mockResolvedValue({ id: 1234 });
+    mockGitlabClient.Namespaces.show.mockResolvedValue({
+      id: 1234,
+      kind: 'group',
+    });
     mockGitlabClient.Groups.allProjects.mockResolvedValue([]);
     mockGitlabClient.Projects.create.mockResolvedValue({
       http_url_to_repo: 'http://mockurl.git',
@@ -502,7 +558,10 @@ describe('publish:gitlab', () => {
     });
 
     mockGitlabClient.Users.showCurrentUser.mockResolvedValue({ id: 12345 });
-    mockGitlabClient.Namespaces.show.mockResolvedValue({ id: 1234 });
+    mockGitlabClient.Namespaces.show.mockResolvedValue({
+      id: 1234,
+      kind: 'group',
+    });
     mockGitlabClient.Groups.allProjects.mockResolvedValue([]);
     mockGitlabClient.Projects.create.mockResolvedValue({
       http_url_to_repo: 'http://mockurl.git',
@@ -549,7 +608,10 @@ describe('publish:gitlab', () => {
     });
 
     mockGitlabClient.Users.showCurrentUser.mockResolvedValue({ id: 12345 });
-    mockGitlabClient.Namespaces.show.mockResolvedValue({ id: 1234 });
+    mockGitlabClient.Namespaces.show.mockResolvedValue({
+      id: 1234,
+      kind: 'group',
+    });
     mockGitlabClient.Groups.allProjects.mockResolvedValue([]);
     mockGitlabClient.Projects.create.mockResolvedValue({
       http_url_to_repo: 'http://mockurl.git',
@@ -570,7 +632,10 @@ describe('publish:gitlab', () => {
 
   it('should call output with the remoteUrl and repoContentsUrl and projectId', async () => {
     mockGitlabClient.Users.showCurrentUser.mockResolvedValue({ id: 12345 });
-    mockGitlabClient.Namespaces.show.mockResolvedValue({ id: 1234 });
+    mockGitlabClient.Namespaces.show.mockResolvedValue({
+      id: 1234,
+      kind: 'group',
+    });
     mockGitlabClient.Groups.allProjects.mockResolvedValue([]);
     mockGitlabClient.Projects.create.mockResolvedValue({
       http_url_to_repo: 'http://mockurl.git',
@@ -610,7 +675,10 @@ describe('publish:gitlab', () => {
       config: customAuthorConfig,
     });
 
-    mockGitlabClient.Namespaces.show.mockResolvedValue({ id: 1234 });
+    mockGitlabClient.Namespaces.show.mockResolvedValue({
+      id: 1234,
+      kind: 'group',
+    });
     mockGitlabClient.Users.showCurrentUser.mockResolvedValue({ id: 12345 });
     mockGitlabClient.Groups.allProjects.mockResolvedValue([]);
     mockGitlabClient.Projects.create.mockResolvedValue({
diff --git a/plugins/scaffolder-backend-module-gitlab/src/actions/gitlab.ts b/plugins/scaffolder-backend-module-gitlab/src/actions/gitlab.ts
index b2641e6656..582716a979 100644
--- a/plugins/scaffolder-backend-module-gitlab/src/actions/gitlab.ts
+++ b/plugins/scaffolder-backend-module-gitlab/src/actions/gitlab.ts
@@ -379,13 +379,15 @@ export function createPublishGitlabAction(options: {
       });
 
       let targetNamespaceId;
-
+      let targetNamespaceKind;
       try {
         const namespaceResponse = (await client.Namespaces.show(owner)) as {
           id: number;
+          kind: string;
         };
 
         targetNamespaceId = namespaceResponse.id;
+        targetNamespaceKind = namespaceResponse.kind;
       } catch (e) {
         if (e.cause?.response?.status === 404) {
           throw new InputError(
@@ -401,13 +403,16 @@ export function createPublishGitlabAction(options: {
 
       if (!targetNamespaceId) {
         targetNamespaceId = userId;
+        targetNamespaceKind = 'user';
       }
 
-      const existingProjects = await client.Groups.allProjects(owner, {
-        search: repo,
-      });
+      const existingProjects =
+        targetNamespaceKind === 'user'
+          ? await client.Users.allProjects(owner, { search: repo })
+          : await client.Groups.allProjects(owner, { search: repo });
+
       const existingProject = existingProjects.find(
-        searchPathElem => searchPathElem.path === repo,
+        project => project.path === repo,
       );
 
       if (!skipExisting || (skipExisting && !existingProject)) {