diff --git a/grace-bootstrap/src/test/groovy/grails/util/GrailsUtilTests.java b/grace-bootstrap/src/test/groovy/grails/util/GrailsUtilTests.java
index 92ec21ee2a..49e6e8e3a1 100644
--- a/grace-bootstrap/src/test/groovy/grails/util/GrailsUtilTests.java
+++ b/grace-bootstrap/src/test/groovy/grails/util/GrailsUtilTests.java
@@ -29,7 +29,7 @@ public class GrailsUtilTests {
 
     @Test
     public void testGrailsVersion() {
-        assertEquals("2023.0.2-SNAPSHOT", GrailsUtil.getGrailsVersion());
+        assertEquals("2023.1.0-SNAPSHOT", GrailsUtil.getGrailsVersion());
     }
 
     @AfterEach
diff --git a/gradle.properties b/gradle.properties
index 159da6aaff..e6030e4b7f 100644
--- a/gradle.properties
+++ b/gradle.properties
@@ -1,4 +1,4 @@
-projectVersion=2023.0.2-SNAPSHOT
+projectVersion=2023.1.0-SNAPSHOT
 gradleExtraConfigurationsPluginVersion=9.0.0
 gradleNexusPublishPluginVersion=1.3.0
 gradleSdkVendorVersion=3.0.0