diff --git a/compiler/src/dotty/tools/dotc/reporting/ErrorMessageID.scala b/compiler/src/dotty/tools/dotc/reporting/ErrorMessageID.scala
index cb5e8a7b314c..db523c879ea2 100644
--- a/compiler/src/dotty/tools/dotc/reporting/ErrorMessageID.scala
+++ b/compiler/src/dotty/tools/dotc/reporting/ErrorMessageID.scala
@@ -215,6 +215,7 @@ enum ErrorMessageID(val isActive: Boolean = true) extends java.lang.Enum[ErrorMe
   case TailrecNestedCallID //errorNumber: 199
   case FinalLocalDefID // errorNumber: 200
   case NonNamedArgumentInJavaAnnotationID // errorNumber: 201
+  case QuotedTypeMissingID // errorNumber: 202
 
   def errorNumber = ordinal - 1
 
diff --git a/compiler/src/dotty/tools/dotc/reporting/MessageKind.scala b/compiler/src/dotty/tools/dotc/reporting/MessageKind.scala
index 10ad4f83d93d..bb02a08d2e46 100644
--- a/compiler/src/dotty/tools/dotc/reporting/MessageKind.scala
+++ b/compiler/src/dotty/tools/dotc/reporting/MessageKind.scala
@@ -22,6 +22,7 @@ enum MessageKind:
   case Compatibility
   case PotentialIssue
   case UnusedSymbol
+  case Staging
 
   /** Human readable message that will end up being shown to the user.
    *  NOTE: This is only used in the situation where you have multiple words
@@ -39,5 +40,6 @@ enum MessageKind:
       case MatchCaseUnreachable => "Match case Unreachable"
       case PotentialIssue => "Potential Issue"
       case UnusedSymbol => "Unused Symbol"
+      case Staging => "Staging Issue"
       case kind => kind.toString
 end MessageKind
diff --git a/compiler/src/dotty/tools/dotc/reporting/messages.scala b/compiler/src/dotty/tools/dotc/reporting/messages.scala
index d65f9a9857e2..97cd70113c2e 100644
--- a/compiler/src/dotty/tools/dotc/reporting/messages.scala
+++ b/compiler/src/dotty/tools/dotc/reporting/messages.scala
@@ -108,6 +108,9 @@ end CyclicMsg
 abstract class ReferenceMsg(errorId: ErrorMessageID)(using Context) extends Message(errorId):
   def kind = MessageKind.Reference
 
+abstract class StagingMessage(errorId: ErrorMessageID)(using Context) extends Message(errorId):
+  override final def kind = MessageKind.Staging
+
 abstract class EmptyCatchOrFinallyBlock(tryBody: untpd.Tree, errNo: ErrorMessageID)(using Context)
 extends SyntaxMsg(errNo) {
   def explain(using Context) = {
@@ -3323,3 +3326,20 @@ class NonNamedArgumentInJavaAnnotation(using Context) extends SyntaxMsg(NonNamed
         """
 
 end NonNamedArgumentInJavaAnnotation
+
+final class QuotedTypeMissing(tpe: Type)(using Context) extends StagingMessage(QuotedTypeMissingID):
+
+  private def witness = defn.QuotedTypeClass.typeRef.appliedTo(tpe)
+
+  override protected def msg(using Context): String = 
+    i"Reference to $tpe within quotes requires a given ${witness} in scope"
+
+  override protected def explain(using Context): String =
+    i"""Referencing `$tpe` inside a quoted expression requires a `${witness}` to be in scope. 
+        |Since Scala is subject to erasure at runtime, the type information will be missing during the execution of the code.
+        |`${witness}` is therefore needed to carry `$tpe`'s type information into the quoted code. 
+        |Without an implicit `${witness}`, the type `$tpe` cannot be properly referenced within the expression. 
+        |To resolve this, ensure that a `${witness}` is available, either through a context-bound or explicitly.
+        |"""
+
+end QuotedTypeMissing
diff --git a/compiler/src/dotty/tools/dotc/staging/HealType.scala b/compiler/src/dotty/tools/dotc/staging/HealType.scala
index 5a26803c8137..a73f884fbac9 100644
--- a/compiler/src/dotty/tools/dotc/staging/HealType.scala
+++ b/compiler/src/dotty/tools/dotc/staging/HealType.scala
@@ -1,17 +1,19 @@
 package dotty.tools.dotc
 package staging
 
-import dotty.tools.dotc.core.Contexts.*
-import dotty.tools.dotc.core.Decorators.*
-import dotty.tools.dotc.core.Flags.*
-import dotty.tools.dotc.core.StdNames.*
-import dotty.tools.dotc.core.Symbols.*
-import dotty.tools.dotc.core.Types.*
-import dotty.tools.dotc.staging.StagingLevel.*
-import dotty.tools.dotc.staging.QuoteTypeTags.*
+import reporting.*
 
-import dotty.tools.dotc.typer.Implicits.SearchFailureType
-import dotty.tools.dotc.util.SrcPos
+import core.Contexts.*
+import core.Decorators.*
+import core.Flags.*
+import core.StdNames.*
+import core.Symbols.*
+import core.Types.*
+import StagingLevel.*
+import QuoteTypeTags.*
+
+import typer.Implicits.SearchFailureType
+import util.SrcPos
 
 class HealType(pos: SrcPos)(using Context) extends TypeMap {
 
@@ -98,9 +100,7 @@ class HealType(pos: SrcPos)(using Context) extends TypeMap {
             pos)
         tp
       case _ =>
-        report.error(em"""Reference to $tp within quotes requires a given $reqType in scope.
-                      |
-                      |""", pos)
+        report.error(QuotedTypeMissing(tp), pos)
         tp
   }
 
diff --git a/tests/neg/i21696.check b/tests/neg/i21696.check
new file mode 100644
index 000000000000..9195263040b3
--- /dev/null
+++ b/tests/neg/i21696.check
@@ -0,0 +1,13 @@
+-- [E202] Staging Issue Error: tests/neg/i21696.scala:7:52 -------------------------------------------------------------
+7 |def foo[T](using Quotes): Expr[Thing[T]] = '{ Thing[T]() } // error
+  |                                                    ^
+  |                                       Reference to T within quotes requires a given scala.quoted.Type[T] in scope
+  |---------------------------------------------------------------------------------------------------------------------
+  | Explanation (enabled by `-explain`)
+  |- - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - - -
+  | Referencing `T` inside a quoted expression requires a `scala.quoted.Type[T]` to be in scope. 
+  | Since Scala is subject to erasure at runtime, the type information will be missing during the execution of the code.
+  | `scala.quoted.Type[T]` is therefore needed to carry `T`'s type information into the quoted code. 
+  | Without an implicit `scala.quoted.Type[T]`, the type `T` cannot be properly referenced within the expression. 
+  | To resolve this, ensure that a `scala.quoted.Type[T]` is available, either through a context-bound or explicitly.
+   ---------------------------------------------------------------------------------------------------------------------
diff --git a/tests/neg/i21696.scala b/tests/neg/i21696.scala
new file mode 100644
index 000000000000..7ec30a8a2e41
--- /dev/null
+++ b/tests/neg/i21696.scala
@@ -0,0 +1,7 @@
+//> using options -explain
+
+import scala.quoted.{Expr, Quotes}
+
+case class Thing[T]()
+
+def foo[T](using Quotes): Expr[Thing[T]] = '{ Thing[T]() } // error