diff --git a/CHANGELOG.md b/CHANGELOG.md
index 529ce255c..3b0b071a6 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -2,6 +2,68 @@
 
 All notable changes to this project are documented in this file.
 
+## 1.38.0
+
+**Release date:** 2024-07-30
+
+This release comes with several fixes and improvements. There is a new [Keptn
+metrics provider](https://docs.flagger.app/usage/metrics#keptn) that can be used
+for flexible grading logic and analysis.
+The loadtester chart now supports ServiceAccount annotations and the Flagger
+chart now supports specifying `honorLabels` for the PodMonitor.
+
+Support for Kuma has been fixed and verified against Kuma 2.7.5. Also, the
+Deployment scaling has been updated to use `Patch` instead of `Update` to avoid
+intermittent conflict errors. Furthermore, a potential panic that could be
+caused due to Prometheus returning a range vector has been fixed. Also, the
+`request-duration` inbuilt query for Nginx has been updated to be more accurate.
+
+Lastly, all Go dependencies, Alpine and Kubernetes libraries were updated.
+
+#### Important
+
+The update to Kubernetes libraries also brings an unwanted side-effect. Due to
+a change in upstream Kubernetes, sidecar support is done through a new field,
+which may be utilized by other services in your cluster. This would change the
+hash calculated by Flagger between runs and trigger an unwanted Canary
+analysis. Unfortunately, this is unavoidable. To get around this, users could
+set the `.spec.suspend` field to be true before updating to this version and
+switch it back when they update their application.
+
+#### Improvements
+- Bumps golang.org/x/net to v0.23.0
+  [#1628](https://github.com/fluxcd/flagger/pull/1628)
+- feat: implement a Keptn metrics provider
+  [#1630](https://github.com/fluxcd/flagger/pull/1630)
+- Update dependencies to Kubernetes 1.30
+  [#1638](https://github.com/fluxcd/flagger/pull/1638)
+- loadtester: add support for annotation on service account
+  [#1649](https://github.com/fluxcd/flagger/pull/1649)
+- Bump golang.org/x/net to v0.25.0 and other deps.
+  [#1653](https://github.com/fluxcd/flagger/pull/1653)
+- Update Go dependencies and Alpine
+  [#1656](https://github.com/fluxcd/flagger/pull/1656)
+- Helm - Add podMonitor.honor labels
+  [#1676](https://github.com/fluxcd/flagger/pull/1676)
+- kuma: bump e2e version to 2.7.5
+  [#1683](https://github.com/fluxcd/flagger/pull/1683)
+- Release loadtester 0.33.0
+  [#1690](https://github.com/fluxcd/flagger/pull/1690)
+- Bump google.golang.org/grpc from 1.64.0 to 1.64.1
+  [#1675](https://github.com/fluxcd/flagger/pull/1675)
+
+#### Fixes
+- Use `Patch` instead of `Update` for Deployment scaling
+  [#1634](https://github.com/fluxcd/flagger/pull/1634)
+- block panic when prom returns range vector
+  [#1637](https://github.com/fluxcd/flagger/pull/1637)
+- Fix removal of empty keys from flagger chart
+  [#1657](https://github.com/fluxcd/flagger/pull/1657)
+- doc: fix KEDA doc regarding namespaces
+  [#1666](https://github.com/fluxcd/flagger/pull/1666)
+- Fix Nginx request-duration query
+  [#1686](https://github.com/fluxcd/flagger/pull/1686)
+
 ## 1.37.0
 
 **Release date:** 2024-03-26
diff --git a/artifacts/flagger/deployment.yaml b/artifacts/flagger/deployment.yaml
index d56f59e55..222ee63b0 100644
--- a/artifacts/flagger/deployment.yaml
+++ b/artifacts/flagger/deployment.yaml
@@ -22,7 +22,7 @@ spec:
       serviceAccountName: flagger
       containers:
       - name: flagger
-        image: ghcr.io/fluxcd/flagger:1.37.0
+        image: ghcr.io/fluxcd/flagger:1.38.0
         imagePullPolicy: IfNotPresent
         ports:
         - name: http
diff --git a/charts/flagger/Chart.yaml b/charts/flagger/Chart.yaml
index 534da382c..51b82c21a 100644
--- a/charts/flagger/Chart.yaml
+++ b/charts/flagger/Chart.yaml
@@ -1,7 +1,7 @@
 apiVersion: v1
 name: flagger
-version: 1.37.0
-appVersion: 1.37.0
+version: 1.38.0
+appVersion: 1.38.0
 kubeVersion: ">=1.19.0-0"
 engine: gotpl
 description: Flagger is a progressive delivery operator for Kubernetes
diff --git a/charts/flagger/values.yaml b/charts/flagger/values.yaml
index 8227b7683..52d335097 100644
--- a/charts/flagger/values.yaml
+++ b/charts/flagger/values.yaml
@@ -5,7 +5,7 @@
 
 image:
   repository: ghcr.io/fluxcd/flagger
-  tag: 1.37.0
+  tag: 1.38.0
   pullPolicy: IfNotPresent
   pullSecret:
 
diff --git a/kustomize/base/flagger/kustomization.yaml b/kustomize/base/flagger/kustomization.yaml
index 3f1a8cd5f..877335274 100644
--- a/kustomize/base/flagger/kustomization.yaml
+++ b/kustomize/base/flagger/kustomization.yaml
@@ -9,4 +9,4 @@ resources:
 images:
   - name: ghcr.io/fluxcd/flagger
     newName: ghcr.io/fluxcd/flagger
-    newTag: 1.37.0
+    newTag: 1.38.0
diff --git a/pkg/version/version.go b/pkg/version/version.go
index ecc5f70fd..882044390 100644
--- a/pkg/version/version.go
+++ b/pkg/version/version.go
@@ -16,5 +16,5 @@ limitations under the License.
 
 package version
 
-var VERSION = "1.37.0"
+var VERSION = "1.38.0"
 var REVISION = "unknown"