diff --git a/src/vs/workbench/contrib/notebook/browser/services/notebookKernelHistoryServiceImpl.ts b/src/vs/workbench/contrib/notebook/browser/services/notebookKernelHistoryServiceImpl.ts
index 7256ad1d404b7..7901ccc3e16e9 100644
--- a/src/vs/workbench/contrib/notebook/browser/services/notebookKernelHistoryServiceImpl.ts
+++ b/src/vs/workbench/contrib/notebook/browser/services/notebookKernelHistoryServiceImpl.ts
@@ -3,7 +3,7 @@
  *  Licensed under the MIT License. See License.txt in the project root for license information.
  *--------------------------------------------------------------------------------------------*/
 
-import { Disposable } from 'vs/base/common/lifecycle';
+import { Disposable, DisposableStore } from 'vs/base/common/lifecycle';
 import { LinkedMap, Touch } from 'vs/base/common/map';
 import { localize } from 'vs/nls';
 import { Categories } from 'vs/platform/action/common/actionCommonCategories';
@@ -36,6 +36,9 @@ export class NotebookKernelHistoryService extends Disposable implements INoteboo
 
 		this._loadState();
 		this._register(this._storageService.onWillSaveState(() => this._saveState()));
+		this._register(this._storageService.onDidChangeValue(StorageScope.WORKSPACE, NotebookKernelHistoryService.STORAGE_KEY, this._register(new DisposableStore()))(() => {
+			this._restoreState();
+		}));
 	}
 
 	getKernels(notebook: INotebookTextModelLike): { selected: INotebookKernel | undefined; all: INotebookKernel[] } {
@@ -79,12 +82,30 @@ export class NotebookKernelHistoryService extends Disposable implements INoteboo
 
 		if (notEmpty) {
 			const serialized = this._serialize();
-			this._storageService.store(NotebookKernelHistoryService.STORAGE_KEY, JSON.stringify(serialized), StorageScope.WORKSPACE, StorageTarget.MACHINE);
+			this._storageService.store(NotebookKernelHistoryService.STORAGE_KEY, JSON.stringify(serialized), StorageScope.WORKSPACE, StorageTarget.USER);
 		} else {
 			this._storageService.remove(NotebookKernelHistoryService.STORAGE_KEY, StorageScope.WORKSPACE);
 		}
 	}
 
+	private _restoreState(): void {
+		const serialized = this._storageService.get(NotebookKernelHistoryService.STORAGE_KEY, StorageScope.WORKSPACE);
+		if (serialized) {
+			try {
+				for (const [viewType, kernels] of JSON.parse(serialized)) {
+					const linkedMap = this._mostRecentKernelsMap[viewType] ?? new LinkedMap<string, string>();
+					for (const entry of kernels.entries) {
+						linkedMap.set(entry, entry, Touch.AsOld);
+					}
+
+					this._mostRecentKernelsMap[viewType] = linkedMap;
+				}
+			} catch (e) {
+				console.error('Deserialize notebook kernel history failed', e);
+			}
+		}
+	}
+
 	private _loadState(): void {
 		const serialized = this._storageService.get(NotebookKernelHistoryService.STORAGE_KEY, StorageScope.WORKSPACE);
 		if (serialized) {
diff --git a/src/vs/workbench/contrib/notebook/test/browser/notebookKernelHistory.test.ts b/src/vs/workbench/contrib/notebook/test/browser/notebookKernelHistory.test.ts
index bb7e0967612ff..52eadf224ae70 100644
--- a/src/vs/workbench/contrib/notebook/test/browser/notebookKernelHistory.test.ts
+++ b/src/vs/workbench/contrib/notebook/test/browser/notebookKernelHistory.test.ts
@@ -18,7 +18,7 @@ import { NotebookTextModel } from 'vs/workbench/contrib/notebook/common/model/no
 import { PLAINTEXT_LANGUAGE_ID } from 'vs/editor/common/languages/modesRegistry';
 import { IMenu, IMenuService } from 'vs/platform/actions/common/actions';
 import { NotebookKernelHistoryService } from 'vs/workbench/contrib/notebook/browser/services/notebookKernelHistoryServiceImpl';
-import { IStorageService, IWillSaveStateEvent, StorageScope } from 'vs/platform/storage/common/storage';
+import { IApplicationStorageValueChangeEvent, IProfileStorageValueChangeEvent, IStorageService, IStorageValueChangeEvent, IWillSaveStateEvent, IWorkspaceStorageValueChangeEvent, StorageScope } from 'vs/platform/storage/common/storage';
 import { INotebookLoggingService } from 'vs/workbench/contrib/notebook/common/notebookLoggingService';
 
 suite('NotebookKernelHistoryService', () => {
@@ -70,6 +70,12 @@ suite('NotebookKernelHistoryService', () => {
 
 		instantiationService.stub(IStorageService, new class extends mock<IStorageService>() {
 			override onWillSaveState: Event<IWillSaveStateEvent> = Event.None;
+			override onDidChangeValue(scope: StorageScope.WORKSPACE, key: string | undefined, disposable: DisposableStore): Event<IWorkspaceStorageValueChangeEvent>;
+			override onDidChangeValue(scope: StorageScope.PROFILE, key: string | undefined, disposable: DisposableStore): Event<IProfileStorageValueChangeEvent>;
+			override onDidChangeValue(scope: StorageScope.APPLICATION, key: string | undefined, disposable: DisposableStore): Event<IApplicationStorageValueChangeEvent>;
+			override onDidChangeValue(scope: StorageScope, key: string | undefined, disposable: DisposableStore): Event<IStorageValueChangeEvent> {
+				return Event.None;
+			}
 			override get(key: string, scope: StorageScope, fallbackValue: string): string;
 			override get(key: string, scope: StorageScope, fallbackValue?: string | undefined): string | undefined;
 			override get(key: unknown, scope: unknown, fallbackValue?: unknown): string | undefined {
@@ -119,6 +125,12 @@ suite('NotebookKernelHistoryService', () => {
 
 		instantiationService.stub(IStorageService, new class extends mock<IStorageService>() {
 			override onWillSaveState: Event<IWillSaveStateEvent> = Event.None;
+			override onDidChangeValue(scope: StorageScope.WORKSPACE, key: string | undefined, disposable: DisposableStore): Event<IWorkspaceStorageValueChangeEvent>;
+			override onDidChangeValue(scope: StorageScope.PROFILE, key: string | undefined, disposable: DisposableStore): Event<IProfileStorageValueChangeEvent>;
+			override onDidChangeValue(scope: StorageScope.APPLICATION, key: string | undefined, disposable: DisposableStore): Event<IApplicationStorageValueChangeEvent>;
+			override onDidChangeValue(scope: StorageScope, key: string | undefined, disposable: DisposableStore): Event<IStorageValueChangeEvent> {
+				return Event.None;
+			}
 			override get(key: string, scope: StorageScope, fallbackValue: string): string;
 			override get(key: string, scope: StorageScope, fallbackValue?: string | undefined): string | undefined;
 			override get(key: unknown, scope: unknown, fallbackValue?: unknown): string | undefined {