diff --git a/CHANGELOG.md b/CHANGELOG.md
index 76d0cc090..8c802adee 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -6,6 +6,10 @@ The format is based on [Keep a Changelog](https://keepachangelog.com/en/1.0.0/),
 
 ## Unreleased
 
+### Changed
+
+- [#565](https://github.com/XenitAB/terraform-modules/pull/565) [Breaking] Update Ingress Nginx major version.
+
 ### Fixed
 
 - [#570](https://github.com/XenitAB/terraform-modules/pull/570) Only add network policy for Datadog / Grafana-Agent if default deny is true
diff --git a/modules/kubernetes/ingress-nginx/main.tf b/modules/kubernetes/ingress-nginx/main.tf
index 07284083a..c50c969c1 100644
--- a/modules/kubernetes/ingress-nginx/main.tf
+++ b/modules/kubernetes/ingress-nginx/main.tf
@@ -40,7 +40,7 @@ resource "helm_release" "ingress_nginx" {
   chart       = "ingress-nginx"
   name        = "ingress-nginx"
   namespace   = kubernetes_namespace.this.metadata[0].name
-  version     = "3.40.0"
+  version     = "4.0.17"
   max_history = 3
   values = [templatefile("${path.module}/templates/values.yaml.tpl", {
     http_snippet           = var.http_snippet
@@ -57,7 +57,7 @@ resource "helm_release" "ingress_nginx" {
     linkerd_enabled           = var.linkerd_enabled
     datadog_enabled           = var.datadog_enabled
     allow_snippet_annotations = var.allow_snippet_annotations
-    default_ingress_class     = false
+    default_ingress_class     = true
   })]
 }
 
@@ -72,7 +72,7 @@ resource "helm_release" "ingress_nginx_public" {
   chart       = "ingress-nginx"
   name        = "ingress-nginx-public"
   namespace   = kubernetes_namespace.this.metadata[0].name
-  version     = "3.40.0"
+  version     = "4.0.17"
   max_history = 3
   values = [templatefile("${path.module}/templates/values.yaml.tpl", {
     http_snippet           = var.http_snippet
@@ -104,7 +104,7 @@ resource "helm_release" "ingress_nginx_private" {
   chart       = "ingress-nginx"
   name        = "ingress-nginx-private"
   namespace   = kubernetes_namespace.this.metadata[0].name
-  version     = "3.40.0"
+  version     = "4.0.17"
   max_history = 3
   values = [templatefile("${path.module}/templates/values.yaml.tpl", {
     http_snippet           = var.http_snippet
diff --git a/modules/kubernetes/ingress-nginx/templates/values.yaml.tpl b/modules/kubernetes/ingress-nginx/templates/values.yaml.tpl
index 27a522afe..0e4abe6bf 100644
--- a/modules/kubernetes/ingress-nginx/templates/values.yaml.tpl
+++ b/modules/kubernetes/ingress-nginx/templates/values.yaml.tpl
@@ -3,12 +3,13 @@ controller:
 
   priorityClassName: platform-medium
 
-  ingressClass: ${ingress_class}
-
-  # https://github.com/kubernetes/ingress-nginx/issues/5593#issuecomment-647538272
   ingressClassResource:
-    enabled: true
+    name: ${ingress_class}
     default: ${default_ingress_class}
+    controllerValue: "k8s.io/ingress-${ingress_class}"
+  
+  # Should eventually be removed as ingress class annotations are deprecated
+  ingressClass: ${ingress_class}
 
   %{~ if provider == "aws" ~}
   # Optionally change this to ClusterFirstWithHostNet in case you have 'hostNetwork: true'.