diff --git a/.changeset/breezy-ears-rule.md b/.changeset/breezy-ears-rule.md
new file mode 100644
index 0000000000..753554187d
--- /dev/null
+++ b/.changeset/breezy-ears-rule.md
@@ -0,0 +1,5 @@
+---
+'@backstage/plugin-catalog-backend-module-gitlab': patch
+---
+
+The config now consistently uses the term 'instance' to refer to a single GitLab API host.
diff --git a/docs/integrations/gitlab/discovery.md b/docs/integrations/gitlab/discovery.md
index dc0b911b3d..51c34b67ac 100644
--- a/docs/integrations/gitlab/discovery.md
+++ b/docs/integrations/gitlab/discovery.md
@@ -22,7 +22,7 @@ catalog:
       yourProviderId:
         host: gitlab-host # Identifies one of the hosts set up in the integrations
         branch: main # Optional. Uses `master` as default
-        group: example-group # Optional. Group and subgroup (if needed) to look for repositories. If not present the whole project will be scanned
+        group: example-group # Optional. Group and subgroup (if needed) to look for repositories. If not present the whole instance will be scanned
         entityFilename: catalog-info.yaml # Optional. Defaults to `catalog-info.yaml`
         projectPattern: /[\s\S]*/ # Optional. Filters found projects based on provided patter. Defaults to `/[\s\S]*/`, what means to not filter anything
         schedule: # optional; same options as in TaskScheduleDefinition
diff --git a/plugins/catalog-backend-module-gitlab/config.d.ts b/plugins/catalog-backend-module-gitlab/config.d.ts
index 4f51867efc..00ad0ef032 100644
--- a/plugins/catalog-backend-module-gitlab/config.d.ts
+++ b/plugins/catalog-backend-module-gitlab/config.d.ts
@@ -31,7 +31,7 @@ export interface Config {
           host: string;
           /**
            * (Optional) Gitlab's group[/subgroup] where the discovery is done.
-           * If not defined the whole project will be scanned.
+           * If not defined the whole instance will be scanned.
            */
           group?: string;
           /**