diff --git a/.changeset/great-cats-sit.md b/.changeset/great-cats-sit.md
new file mode 100644
index 0000000000..abdf9cfb39
--- /dev/null
+++ b/.changeset/great-cats-sit.md
@@ -0,0 +1,5 @@
+---
+'@backstage/plugin-catalog-backend': patch
+---
+
+Fixes a bug to be able to utilize refresh keys after the entity is loaded from cache
diff --git a/plugins/catalog-backend/src/modules/core/UrlReaderProcessor.test.ts b/plugins/catalog-backend/src/modules/core/UrlReaderProcessor.test.ts
index ee68b2aa39..c372eb12a6 100644
--- a/plugins/catalog-backend/src/modules/core/UrlReaderProcessor.test.ts
+++ b/plugins/catalog-backend/src/modules/core/UrlReaderProcessor.test.ts
@@ -27,6 +27,7 @@ import {
   CatalogProcessorCache,
   CatalogProcessorEntityResult,
   CatalogProcessorErrorResult,
+  CatalogProcessorRefreshKeysResult,
   CatalogProcessorResult,
 } from '@backstage/plugin-catalog-node';
 import { defaultEntityDataParser } from '../util/parse';
@@ -127,19 +128,25 @@ describe('UrlReaderProcessor', () => {
     mockCache.get.mockResolvedValue(cacheItem);
     const processor = new UrlReaderProcessor({ reader, logger });
 
-    const generated = (await new Promise<CatalogProcessorResult>(emit =>
-      processor.readLocation(
-        spec,
-        false,
-        emit,
-        defaultEntityDataParser,
-        mockCache,
-      ),
-    )) as CatalogProcessorEntityResult;
+    const emitted = new Array<CatalogProcessorResult>();
+    await processor.readLocation(
+      spec,
+      false,
+      r => emitted.push(r),
+      defaultEntityDataParser,
+      mockCache,
+    );
+
+    const entity = emitted[0] as CatalogProcessorEntityResult;
+    const refresh = emitted[1] as CatalogProcessorRefreshKeysResult;
+
+    expect(entity.type).toBe('entity');
+    expect(entity.location).toEqual(spec);
+    expect(entity.entity).toEqual({ mock: 'entity' });
+
+    expect(refresh.type).toBe('refresh');
+    expect(refresh.key).toBe('url:http://localhost/component.yaml');
 
-    expect(generated.type).toBe('entity');
-    expect(generated.location).toEqual(spec);
-    expect(generated.entity).toEqual({ mock: 'entity' });
     expect(mockCache.get).toBeCalledWith('v1');
     expect(mockCache.get).toBeCalledTimes(1);
     expect(mockCache.set).toBeCalledTimes(0);
diff --git a/plugins/catalog-backend/src/modules/core/UrlReaderProcessor.ts b/plugins/catalog-backend/src/modules/core/UrlReaderProcessor.ts
index 0ecd6d5a42..b1b1f64fdc 100644
--- a/plugins/catalog-backend/src/modules/core/UrlReaderProcessor.ts
+++ b/plugins/catalog-backend/src/modules/core/UrlReaderProcessor.ts
@@ -102,6 +102,7 @@ export class UrlReaderProcessor implements CatalogProcessor {
         for (const parseResult of cacheItem.value) {
           emit(parseResult);
         }
+        emit(processingResult.refresh(`${location.type}:${location.target}`));
       } else if (error.name === 'NotFoundError') {
         if (!optional) {
           emit(processingResult.notFoundError(location, message));