diff --git a/pkgs/applications/editors/vscode/extensions/ms-azuretools.vscode-bicep/default.nix b/pkgs/applications/editors/vscode/extensions/ms-azuretools.vscode-bicep/default.nix
index 502e739daea1..2542e6c955c8 100644
--- a/pkgs/applications/editors/vscode/extensions/ms-azuretools.vscode-bicep/default.nix
+++ b/pkgs/applications/editors/vscode/extensions/ms-azuretools.vscode-bicep/default.nix
@@ -10,8 +10,8 @@ vscode-utils.buildVscodeMarketplaceExtension {
   mktplcRef = {
     publisher = "ms-azuretools";
     name = "vscode-bicep";
-    version = "0.41.2";
-    hash = "sha256-8k2de208t/ZAVJzxkjd0qcqgVx523hEWWe5d1uvthFU=";
+    version = "0.42.1";
+    hash = "sha256-rlLR/95DcxwkLxvyJgt3ptBvelL5VCIQvDl72eqk63s=";
   };
 
   buildInputs = [