diff --git a/frontend/src/components/App/Layout.tsx b/frontend/src/components/App/Layout.tsx
index c2bc188d91..7d21938d19 100644
--- a/frontend/src/components/App/Layout.tsx
+++ b/frontend/src/components/App/Layout.tsx
@@ -15,7 +15,7 @@ import { setConfig } from '../../redux/configSlice';
 import { ConfigState } from '../../redux/configSlice';
 import { useTypedSelector } from '../../redux/reducers/reducers';
 import store from '../../redux/stores/store';
-import { fetchStatelessClusterKubeConfigs, processClusterComparison } from '../../stateless/';
+import { fetchStatelessClusterKubeConfigs, isEqualClusterConfigs } from '../../stateless/';
 import ActionsNotifier from '../common/ActionsNotifier';
 import AlertNotification from '../common/AlertNotification';
 import Sidebar, { NavigationTabs } from '../Sidebar';
@@ -56,6 +56,44 @@ function ClusterNotFoundPopup() {
 const Div = styled('div')``;
 const Main = styled('main')``;
 
+/**
+ * Merges the new cluster with the current cluster.
+ * Stateless clusters are merged with the current cluster.
+ * It also preserves the useToken property.
+ * @param newConfig - The new cluster config.
+ * @param currentClusters - The current cluster config.
+ * @param statelessClusters - The stateless cluster config.
+ * @returns The merged cluster config.
+ */
+function mergeClusterConfigs(
+  newClusters: Record<string, any>,
+  currentClusters: Record<string, any>,
+  statelessClusters: Record<string, any> | null
+): Record<string, any> {
+  const mergedClusters = { ...newClusters };
+
+  // Merge stateless clusters
+  if (statelessClusters) {
+    Object.entries(statelessClusters).forEach(([key, cluster]) => {
+      if (!mergedClusters[key]) {
+        mergedClusters[key] = cluster;
+      }
+    });
+  }
+
+  // Preserve useToken property
+  Object.entries(mergedClusters).forEach(([key, cluster]) => {
+    if (currentClusters[key]?.useToken !== undefined) {
+      mergedClusters[key] = {
+        ...cluster,
+        useToken: currentClusters[key].useToken,
+      };
+    }
+  });
+
+  return mergedClusters;
+}
+
 export default function Layout({}: LayoutProps) {
   const arePluginsLoaded = useTypedSelector(state => state.plugins.loaded);
   const dispatch = useDispatch();
@@ -109,17 +147,22 @@ export default function Layout({}: LayoutProps) {
         if (clusters === null) {
           dispatch(setConfig(configToStore));
         } else {
-          const isConfigDifferent = processClusterComparison(clusters, clustersToConfig, false);
-
-          if (
-            isConfigDifferent ||
-            Object.keys(clustersToConfig).length !== Object.keys(clusters).length
-          ) {
-            if (statelessClusters !== null) {
-              processClusterComparison(clusters, statelessClusters, true);
-            }
+          // Check if the config is different
+          const configDifferent = isEqualClusterConfigs(clusters, clustersToConfig);
 
-            dispatch(setConfig(configToStore));
+          if (configDifferent) {
+            // Merge the new config with the current config
+            const mergedClusters = mergeClusterConfigs(
+              configToStore.clusters,
+              clusters,
+              statelessClusters
+            );
+            dispatch(
+              setConfig({
+                ...configToStore,
+                clusters: mergedClusters,
+              })
+            );
           }
         }
 
diff --git a/frontend/src/stateless/index.ts b/frontend/src/stateless/index.ts
index dcae5569ec..065e3509c8 100644
--- a/frontend/src/stateless/index.ts
+++ b/frontend/src/stateless/index.ts
@@ -314,47 +314,31 @@ function generateSecureToken(length = 16): string {
  * Compares the cluster config from the backend and the redux store
  * @param clusters
  * @param clustersToConfig
- * @param isStateless
  * @returns true if the present stored config is different from the fetched one.
  */
-export function processClusterComparison(
-  clusters: ConfigState['clusters'],
-  clustersToConfig: ConfigState['clusters'],
-  isStateless: boolean
-) {
-  if (!clusters) {
-    // If no clusters, then add all clusters
-    return false;
+export function isEqualClusterConfigs(
+  currentConfig: ConfigState['clusters'],
+  newConfig: ConfigState['clusters']
+): boolean {
+  if (!currentConfig || !newConfig) {
+    return true; // Config is different if either is null/undefined
   }
 
-  if (!clustersToConfig) {
-    // If no clustersToConfig, then delete all clusters
-    return true;
-  }
-
-  let isConfigDifferent = false;
-
-  Object.keys(clustersToConfig).forEach(key => {
-    if (!!clusters[key]) {
-      let clusterToCompare = clusters[key];
+  const currentKeys = Object.keys(currentConfig);
+  const newKeys = Object.keys(newConfig);
 
-      if (clusterToCompare.useToken !== undefined) {
-        clusterToCompare = _.cloneDeep(clusters[key]);
-        delete clusterToCompare.useToken;
-      }
+  if (currentKeys.length !== newKeys.length) {
+    return true; // Different number of clusters
+  }
 
-      if (isStateless) {
-        if (_.isEqual(clustersToConfig[key], clusterToCompare)) {
-          delete clusters[key];
-        }
-      } else {
-        isConfigDifferent =
-          isConfigDifferent || !_.isEqual(clustersToConfig[key], clusterToCompare);
-      }
+  return currentKeys.some(key => {
+    if (!newConfig[key]) {
+      return true; // Cluster in current config doesn't exist in new config
     }
+    const currentCluster = _.omit(currentConfig[key], ['useToken']);
+    const newCluster = _.omit(newConfig[key], ['useToken']);
+    return !_.isEqual(currentCluster, newCluster);
   });
-
-  return isConfigDifferent;
 }
 
 /**
@@ -389,7 +373,6 @@ export async function fetchStatelessClusterKubeConfigs(dispatch: any) {
       });
 
       const configToStore = {
-        ...config,
         statelessClusters: clustersToConfig,
       };
       if (statelessClusters === null) {
@@ -590,10 +573,12 @@ const exportFunctions = {
   getStatelessClusterKubeConfigs,
   findKubeconfigByClusterName,
   getUserIdFromLocalStorage,
-  processClusterComparison,
+  isEqualClusterConfigs,
   fetchStatelessClusterKubeConfigs,
   deleteClusterKubeconfig,
   updateStatelessClusterKubeconfig,
+  // @deprecated - use isEqualClusterConfigs instead
+  processClusterComparison: isEqualClusterConfigs,
 };
 
 export default exportFunctions;