diff --git a/.changeset/slick-lamps-clap.md b/.changeset/slick-lamps-clap.md
new file mode 100644
index 0000000000..af9e1521d3
--- /dev/null
+++ b/.changeset/slick-lamps-clap.md
@@ -0,0 +1,11 @@
+---
+'@backstage/plugin-catalog-backend-module-msgraph': minor
+---
+
+Encode query filters for requests made to msgraph. If you currently have manually encoded characters in a filter, this is a breaking change and must be updated to avoid requests being double encoded.
+
+```diff
+user:
+-    filter: department in('MARKETING', 'RESEARCH %26 DEVELOPMENT')
++    filter: department in('MARKETING', 'RESEARCH & DEVELOPMENT')
+```
diff --git a/plugins/catalog-backend-module-msgraph/src/microsoftGraph/client.test.ts b/plugins/catalog-backend-module-msgraph/src/microsoftGraph/client.test.ts
index 1f59ee9c93..fa198e9a28 100644
--- a/plugins/catalog-backend-module-msgraph/src/microsoftGraph/client.test.ts
+++ b/plugins/catalog-backend-module-msgraph/src/microsoftGraph/client.test.ts
@@ -87,7 +87,25 @@ describe('MicrosoftGraphClient', () => {
     expect(response.status).toBe(200);
     expect(await response.json()).toEqual({
       queryString:
-        '?$filter=test%20eq%20true&$select=id,children&$expand=children&$top=471',
+        '?%24filter=test%20eq%20true&%24select=id%2Cchildren&%24expand=children&%24top=471',
+    });
+  });
+
+  it('should correctly encode filter with special characters like "&"', async () => {
+    worker.use(
+      rest.get('https://example.com/users', (req, res, ctx) =>
+        res(ctx.status(200), ctx.json({ queryString: req.url.search })),
+      ),
+    );
+
+    const response = await client.requestApi('users', {
+      filter: "department eq 'research & development'",
+    });
+
+    expect(response.status).toBe(200);
+    expect(await response.json()).toEqual({
+      queryString:
+        '?%24filter=department%20eq%20%27research%20%26%20development%27',
     });
   });
 
diff --git a/plugins/catalog-backend-module-msgraph/src/microsoftGraph/client.ts b/plugins/catalog-backend-module-msgraph/src/microsoftGraph/client.ts
index 81b57273a8..83d0f0647b 100644
--- a/plugins/catalog-backend-module-msgraph/src/microsoftGraph/client.ts
+++ b/plugins/catalog-backend-module-msgraph/src/microsoftGraph/client.ts
@@ -195,8 +195,7 @@ export class MicrosoftGraphClient {
       },
       {
         addQueryPrefix: true,
-        // Microsoft Graph doesn't like an encoded query string
-        encode: false,
+        encode: true,
       },
     );