diff --git a/.changeset/cool-deers-cough.md b/.changeset/cool-deers-cough.md
index c2619d1fa2..0c07c91b96 100644
--- a/.changeset/cool-deers-cough.md
+++ b/.changeset/cool-deers-cough.md
@@ -6,4 +6,7 @@
 Introduce a new `StarredEntitiesApi` that is used in the `useStarredEntities` hook.
 The `@backstage/plugin-catalog` installs a default implementation that is backed by the `StorageApi`, but one can also override the `starredEntitiesApiRef`.
 
-**BREAKING** All previously stored entities get lost with this update, because the storage format has been migrated from a custom string to an entity reference.
+**BREAKING** All previously stored entities get lost with this update, because:
+
+1. The storage format has been migrated from a custom string to an entity reference.
+2. The storage key in the local storage has been changed.
diff --git a/plugins/catalog-react/src/apis/StarredEntitiesApi/DefaultStarredEntitiesApi.test.ts b/plugins/catalog-react/src/apis/StarredEntitiesApi/DefaultStarredEntitiesApi.test.ts
index eec484863f..95375aa0f6 100644
--- a/plugins/catalog-react/src/apis/StarredEntitiesApi/DefaultStarredEntitiesApi.test.ts
+++ b/plugins/catalog-react/src/apis/StarredEntitiesApi/DefaultStarredEntitiesApi.test.ts
@@ -52,8 +52,8 @@ describe('DefaultStarredEntitiesApi', () => {
     });
 
     it('should unstar starred entity', async () => {
-      const bucket = mockStorage.forBucket('settings');
-      await bucket.set('starredEntities', ['component:default/mock']);
+      const bucket = mockStorage.forBucket('starredEntities');
+      await bucket.set('entityRefs', ['component:default/mock']);
 
       expect(starredEntitiesApi.isStarred(mockEntity)).toBe(true);
 
@@ -78,8 +78,8 @@ describe('DefaultStarredEntitiesApi', () => {
           },
         });
 
-        const bucket = mockStorage.forBucket('settings');
-        bucket.set('starredEntities', ['component:default/mock']).then();
+        const bucket = mockStorage.forBucket('starredEntities');
+        bucket.set('entityRefs', ['component:default/mock']).then();
       });
     });
 
diff --git a/plugins/catalog-react/src/apis/StarredEntitiesApi/DefaultStarredEntitiesApi.ts b/plugins/catalog-react/src/apis/StarredEntitiesApi/DefaultStarredEntitiesApi.ts
index 5783954fbc..fa775679ca 100644
--- a/plugins/catalog-react/src/apis/StarredEntitiesApi/DefaultStarredEntitiesApi.ts
+++ b/plugins/catalog-react/src/apis/StarredEntitiesApi/DefaultStarredEntitiesApi.ts
@@ -32,13 +32,13 @@ export class DefaultStarredEntitiesApi implements StarredEntitiesApi {
   private starredEntities: Set<string>;
 
   constructor(opts: { storageApi: StorageApi }) {
-    this.settingsStore = opts.storageApi.forBucket('settings');
+    this.settingsStore = opts.storageApi.forBucket('starredEntities');
 
     this.starredEntities = new Set(
-      this.settingsStore.get<string[]>('starredEntities') ?? [],
+      this.settingsStore.get<string[]>('entityRefs') ?? [],
     );
 
-    this.settingsStore.observe$<string[]>('starredEntities').subscribe({
+    this.settingsStore.observe$<string[]>('entityRefs').subscribe({
       next: next => {
         this.starredEntities = new Set(next.newValue ?? []);
         this.notifyChanges();
@@ -56,7 +56,7 @@ export class DefaultStarredEntitiesApi implements StarredEntitiesApi {
     }
 
     await this.settingsStore.set(
-      'starredEntities',
+      'entityRefs',
       Array.from(this.starredEntities),
     );
   }
diff --git a/plugins/catalog-react/src/hooks/useStarredEntities.test.tsx b/plugins/catalog-react/src/hooks/useStarredEntities.test.tsx
index 0379e49351..4f41ef090f 100644
--- a/plugins/catalog-react/src/hooks/useStarredEntities.test.tsx
+++ b/plugins/catalog-react/src/hooks/useStarredEntities.test.tsx
@@ -71,8 +71,8 @@ describe('useStarredEntities', () => {
 
   it('should return a set with the current items when there are items in storage', async () => {
     const expectedIds = ['i', 'am', 'some', 'test', 'ids'];
-    const store = mockStorage?.forBucket('settings');
-    await store?.set('starredEntities', expectedIds);
+    const store = mockStorage?.forBucket('starredEntities');
+    await store?.set('entityRefs', expectedIds);
 
     const { result, waitForNextUpdate } = renderHook(
       () => useStarredEntities(),