diff --git a/.changeset/grumpy-bikes-beg.md b/.changeset/grumpy-bikes-beg.md
new file mode 100644
index 0000000000..f150b3d733
--- /dev/null
+++ b/.changeset/grumpy-bikes-beg.md
@@ -0,0 +1,5 @@
+---
+'@backstage/plugin-scaffolder': patch
+---
+
+Restored functionality to OwnedEntityPicker by converting deprecated ui:options input to catalogFilter
diff --git a/plugins/scaffolder/src/components/fields/OwnedEntityPicker/OwnedEntityPicker.tsx b/plugins/scaffolder/src/components/fields/OwnedEntityPicker/OwnedEntityPicker.tsx
index 0122f015a3..d7999c8c0c 100644
--- a/plugins/scaffolder/src/components/fields/OwnedEntityPicker/OwnedEntityPicker.tsx
+++ b/plugins/scaffolder/src/components/fields/OwnedEntityPicker/OwnedEntityPicker.tsx
@@ -22,6 +22,7 @@ import useAsync from 'react-use/lib/useAsync';
 import { EntityPicker } from '../EntityPicker/EntityPicker';
 
 import { OwnedEntityPickerProps } from './schema';
+import { EntityPickerProps } from '../EntityPicker/schema';
 
 export { OwnedEntityPickerSchema } from './schema';
 
@@ -44,7 +45,6 @@ export const OwnedEntityPicker = (props: OwnedEntityPickerProps) => {
     return identity.ownershipEntityRefs;
   });
 
-  const allowedKinds = uiSchema['ui:options']?.allowedKinds;
   if (loading)
     return (
       <Autocomplete
@@ -65,25 +65,46 @@ export const OwnedEntityPicker = (props: OwnedEntityPickerProps) => {
       />
     );
 
-  return (
-    <EntityPicker
-      {...props}
-      schema={{ title, description }}
-      allowedKinds={allowedKinds}
-      catalogFilter={
-        allowedKinds
-          ? {
-              filter: {
-                kind: allowedKinds,
-                [`relations.${RELATION_OWNED_BY}`]: identityRefs || [],
-              },
-            }
-          : {
-              filter: {
-                [`relations.${RELATION_OWNED_BY}`]: identityRefs || [],
-              },
-            }
-      }
-    />
+  const entityPickerUISchema = buildEntityPickerUISchema(
+    uiSchema,
+    identityRefs,
   );
+
+  return <EntityPicker {...props} uiSchema={entityPickerUISchema} />;
 };
+
+/**
+ * Builds a `uiSchema` for an `EntityPicker` from a parent `OwnedEntityPicker`.
+ * Migrates deprecated parameters such as `allowedKinds` to `catalogFilter` structure.
+ *
+ * @param uiSchema The `uiSchema` of an `OwnedEntityPicker` component.
+ * @param identityRefs The user and group entities that the user claims ownership through.
+ * @returns The `uiSchema` for an `EntityPicker` component.
+ */
+function buildEntityPickerUISchema(
+  uiSchema: OwnedEntityPickerProps['uiSchema'],
+  identityRefs: string[] | undefined,
+): EntityPickerProps['uiSchema'] {
+  // Note: This is typed to avoid es-lint rule TS2698
+  const uiOptions: EntityPickerProps['uiSchema']['ui:options'] =
+    uiSchema?.['ui:options'] || {};
+  const allowedKinds = uiOptions.allowedKinds;
+
+  const catalogFilter = {
+    ...uiOptions.catalogFilter,
+    ...(allowedKinds
+      ? {
+          kind: allowedKinds,
+          [`relations.${RELATION_OWNED_BY}`]: identityRefs || [],
+        }
+      : {
+          [`relations.${RELATION_OWNED_BY}`]: identityRefs || [],
+        }),
+  };
+
+  return {
+    'ui:options': {
+      catalogFilter,
+    },
+  };
+}
diff --git a/plugins/scaffolder/src/components/fields/OwnedEntityPicker/schema.ts b/plugins/scaffolder/src/components/fields/OwnedEntityPicker/schema.ts
index 4190b89f95..2bb75db263 100644
--- a/plugins/scaffolder/src/components/fields/OwnedEntityPicker/schema.ts
+++ b/plugins/scaffolder/src/components/fields/OwnedEntityPicker/schema.ts
@@ -15,6 +15,7 @@
  */
 import { z } from 'zod';
 import { makeFieldSchemaFromZod } from '../utils';
+import { entityQueryFilterExpressionSchema } from '../EntityPicker/schema';
 
 /**
  * @public
@@ -25,7 +26,9 @@ export const OwnedEntityPickerFieldSchema = makeFieldSchemaFromZod(
     allowedKinds: z
       .array(z.string())
       .optional()
-      .describe('List of kinds of entities to derive options from'),
+      .describe(
+        'DEPRECATED: Use `catalogFilter` instead. List of kinds of entities to derive options from',
+      ),
     defaultKind: z
       .string()
       .optional()
@@ -42,6 +45,11 @@ export const OwnedEntityPickerFieldSchema = makeFieldSchemaFromZod(
       .describe(
         'The default namespace. Options with this namespace will not be prefixed.',
       ),
+    catalogFilter: z
+      .array(entityQueryFilterExpressionSchema)
+      .or(entityQueryFilterExpressionSchema)
+      .optional()
+      .describe('List of key-value filter expression for entities'),
   }),
 );