diff --git a/pkg/broker/broker_test.go b/pkg/broker/broker_test.go
index b034b3c7b..eca5a17e6 100644
--- a/pkg/broker/broker_test.go
+++ b/pkg/broker/broker_test.go
@@ -230,6 +230,12 @@ func TestServiceDefinition_ProvisionVariables(t *testing.T) {
 		GlobalDefaults     string         // 6
 		ExpectedError      error
 		ExpectedContext    map[string]any
+
+		// Some config values were historically expected to be provided as a string.
+		// That is because these values were sourced from ENV Vars. But these values can
+		// be provided via a config file. This flag is used to test the behavior of the
+		// service definition when the config values are provided as a JSON object instead of a string.
+		IsJSONFormat bool
 	}{
 		"empty": {
 			UserParams:        "",
@@ -396,16 +402,28 @@ func TestServiceDefinition_ProvisionVariables(t *testing.T) {
 			},
 			ExpectedError: fmt.Errorf("failed unmarshaling config value provision.defaults"),
 		},
+		"provision_overrides override user params and global_defaults but not computed defaults using JSON objects": {
+			ServiceProperties:  map[string]any{},                 // 2
+			ProvisionOverrides: map[string]any{"location": "eu"}, // 3
+			UserParams:         `{"location":"us"}`,              // 4
+			DefaultOverride:    "{}",                             // 5
+			GlobalDefaults:     `{"location":"az"}`,              // 6
+			ExpectedContext: map[string]any{
+				"location":            "eu",
+				"name":                "name-eu",
+				"maybe-missing":       "default",
+				"osb_context":         map[string]any{},
+				"originatingIdentity": map[string]any{},
+			},
+			IsJSONFormat: true,
+		},
 	}
 
 	for tn, tc := range cases {
 		t.Run(tn, func(t *testing.T) {
-			if len(tc.DefaultOverride) > 0 {
-				viper.Set(service.ProvisionDefaultOverrideProperty(), tc.DefaultOverride)
-			}
-			if len(tc.GlobalDefaults) > 0 {
-				viper.Set(GlobalProvisionDefaults, tc.GlobalDefaults)
-			}
+			setViperConfig(service.ProvisionDefaultOverrideProperty(), tc.DefaultOverride, tc.IsJSONFormat)
+			setViperConfig(GlobalProvisionDefaults, tc.GlobalDefaults, tc.IsJSONFormat)
+
 			defer viper.Reset()
 
 			details := paramparser.ProvisionDetails{
@@ -425,6 +443,19 @@ func TestServiceDefinition_ProvisionVariables(t *testing.T) {
 	}
 }
 
+// Function to set viper configuration based on JSON format flag.
+func setViperConfig(propertyName string, value string, isJSONFormat bool) {
+	if len(value) == 0 {
+		return
+	}
+
+	if isJSONFormat {
+		viper.Set(propertyName, mustUnmarshal(value))
+	} else {
+		viper.Set(propertyName, value)
+	}
+}
+
 func TestServiceDefinition_UpdateVariables(t *testing.T) {
 	service := ServiceDefinition{
 		ID:   "00000000-0000-0000-0000-000000000000",
diff --git a/pkg/broker/service_definition_test.go b/pkg/broker/service_definition_test.go
index f2b1c20c7..ec99bb086 100644
--- a/pkg/broker/service_definition_test.go
+++ b/pkg/broker/service_definition_test.go
@@ -1,6 +1,7 @@
 package broker_test
 
 import (
+	"encoding/json"
 	"fmt"
 	"os"
 	"sort"
@@ -414,6 +415,47 @@ var _ = Describe("ServiceDefinition", func() {
 				})
 			})
 
+			When("a plan with provision defaults is provided in configuration as a string", func() {
+				BeforeEach(func() {
+					fakeServicePlanConfigObject := []map[string]interface{}{
+						{
+							"name":                fakePlanName,
+							"id":                  fakePlanID,
+							"description":         fakePlanDescription,
+							"additional_property": fakePlanProperty,
+						},
+						{
+							"name":                fmt.Sprintf("fake-string-format-%s", fakePlanName),
+							"id":                  fmt.Sprintf("fake-string-format-%s", fakePlanID),
+							"description":         fmt.Sprintf("fake-string-format-%s", fakePlanDescription),
+							"additional_property": fmt.Sprintf("fake-string-format-%s", fakePlanProperty),
+						},
+					}
+
+					viper.Set("service.fake-service.provision.defaults", `{"test": "value", "object": {"key": "value"}}`)
+					bytes, err := json.Marshal(fakeServicePlanConfigObject)
+					Expect(err).To(Not(HaveOccurred()))
+					viper.Set("service.fake-service.plans", string(bytes))
+				})
+
+				It("should work", func() {
+					plan, err := service.UserDefinedPlans(maintenanceInfo)
+					Expect(err).To(Not(HaveOccurred()))
+					Expect(plan[0].Name).To(Equal(fakePlanName))
+					Expect(plan[1].Name).To(Equal(fmt.Sprintf("fake-string-format-%s", fakePlanName)))
+					provisionOverrides, err := service.ProvisionDefaultOverrides()
+					Expect(err).To(Not(HaveOccurred()))
+					Expect(provisionOverrides).To(
+						Equal(
+							map[string]any{
+								"test":   `value`,
+								"object": map[string]any{"key": "value"},
+							},
+						),
+					)
+				})
+			})
+
 		})
 
 		When("plans are set as an environment variable", func() {