diff --git a/cluster-autoscaler/clusterstate/clusterstate.go b/cluster-autoscaler/clusterstate/clusterstate.go
index 68477081f8b0..894fe1008aa2 100644
--- a/cluster-autoscaler/clusterstate/clusterstate.go
+++ b/cluster-autoscaler/clusterstate/clusterstate.go
@@ -1199,17 +1199,17 @@ func (csr *ClusterStateRegistry) buildInstanceToErrorCodeMappings(instances []cl
 	return
 }
 
-// GetCreatedNodesWithErrors returns list of nodes being created which reported create error.
-func (csr *ClusterStateRegistry) GetCreatedNodesWithErrors() []*apiv1.Node {
+// GetCreatedNodesWithErrors returns a map from node group id to list of nodes which reported a create error.
+func (csr *ClusterStateRegistry) GetCreatedNodesWithErrors() map[string][]*apiv1.Node {
 	csr.Lock()
 	defer csr.Unlock()
 
-	nodesWithCreateErrors := make([]*apiv1.Node, 0, 0)
-	for _, nodeGroupInstances := range csr.cloudProviderNodeInstances {
+	nodesWithCreateErrors := make(map[string][]*apiv1.Node)
+	for nodeGroupId, nodeGroupInstances := range csr.cloudProviderNodeInstances {
 		_, _, instancesByErrorCode := csr.buildInstanceToErrorCodeMappings(nodeGroupInstances)
 		for _, instances := range instancesByErrorCode {
 			for _, instance := range instances {
-				nodesWithCreateErrors = append(nodesWithCreateErrors, FakeNode(instance, cloudprovider.FakeNodeCreateError))
+				nodesWithCreateErrors[nodeGroupId] = append(nodesWithCreateErrors[nodeGroupId], FakeNode(instance, cloudprovider.FakeNodeCreateError))
 			}
 		}
 	}
diff --git a/cluster-autoscaler/core/static_autoscaler.go b/cluster-autoscaler/core/static_autoscaler.go
index 1fcc08c08ad8..d3c59b56c59c 100644
--- a/cluster-autoscaler/core/static_autoscaler.go
+++ b/cluster-autoscaler/core/static_autoscaler.go
@@ -448,12 +448,7 @@ func (a *StaticAutoscaler) RunOnce(currentTime time.Time) caerrors.AutoscalerErr
 		return nil
 	}
 
-	danglingNodes, err := a.deleteCreatedNodesWithErrors()
-	if err != nil {
-		klog.Warningf("Failed to remove nodes that were created with errors, skipping iteration: %v", err)
-		return nil
-	}
-	if danglingNodes {
+	if deletedNodes := a.deleteCreatedNodesWithErrors(); deletedNodes {
 		klog.V(0).Infof("Some nodes that failed to create were removed, skipping iteration")
 		return nil
 	}
@@ -836,30 +831,11 @@ func toNodes(unregisteredNodes []clusterstate.UnregisteredNode) []*apiv1.Node {
 	return nodes
 }
 
-func (a *StaticAutoscaler) deleteCreatedNodesWithErrors() (bool, error) {
+func (a *StaticAutoscaler) deleteCreatedNodesWithErrors() bool {
 	// We always schedule deleting of incoming errornous nodes
 	// TODO[lukaszos] Consider adding logic to not retry delete every loop iteration
-	nodes := a.clusterStateRegistry.GetCreatedNodesWithErrors()
-
 	nodeGroups := a.nodeGroupsById()
-	nodesToBeDeletedByNodeGroupId := make(map[string][]*apiv1.Node)
-
-	for _, node := range nodes {
-		nodeGroup, err := a.CloudProvider.NodeGroupForNode(node)
-		if err != nil {
-			id := "<nil>"
-			if node != nil {
-				id = node.Spec.ProviderID
-			}
-			klog.Warningf("Cannot determine nodeGroup for node %v; %v", id, err)
-			continue
-		}
-		if nodeGroup == nil || reflect.ValueOf(nodeGroup).IsNil() {
-			a.clusterStateRegistry.RefreshCloudProviderNodeInstancesCache()
-			return false, fmt.Errorf("node %s has no known nodegroup", node.GetName())
-		}
-		nodesToBeDeletedByNodeGroupId[nodeGroup.Id()] = append(nodesToBeDeletedByNodeGroupId[nodeGroup.Id()], node)
-	}
+	nodesToBeDeletedByNodeGroupId := a.clusterStateRegistry.GetCreatedNodesWithErrors()
 
 	deletedAny := false
 
@@ -892,13 +868,13 @@ func (a *StaticAutoscaler) deleteCreatedNodesWithErrors() (bool, error) {
 
 		if err != nil {
 			klog.Warningf("Error while trying to delete nodes from %v: %v", nodeGroupId, err)
+		} else {
+			deletedAny = true
+			a.clusterStateRegistry.InvalidateNodeInstancesCacheEntry(nodeGroup)
 		}
-
-		deletedAny = deletedAny || err == nil
-		a.clusterStateRegistry.InvalidateNodeInstancesCacheEntry(nodeGroup)
 	}
 
-	return deletedAny, nil
+	return deletedAny
 }
 
 // instancesToNodes returns a list of fake nodes with just names populated,
diff --git a/cluster-autoscaler/core/static_autoscaler_test.go b/cluster-autoscaler/core/static_autoscaler_test.go
index f0d3ed512047..f47e88f2021f 100644
--- a/cluster-autoscaler/core/static_autoscaler_test.go
+++ b/cluster-autoscaler/core/static_autoscaler_test.go
@@ -1709,9 +1709,8 @@ func TestStaticAutoscalerInstanceCreationErrors(t *testing.T) {
 	clusterState.UpdateNodes([]*apiv1.Node{}, nil, now)
 
 	// delete nodes with create errors
-	removedNodes, err := autoscaler.deleteCreatedNodesWithErrors()
+	removedNodes := autoscaler.deleteCreatedNodesWithErrors()
 	assert.True(t, removedNodes)
-	assert.NoError(t, err)
 
 	// check delete was called on correct nodes
 	nodeGroupA.AssertCalled(t, "DeleteNodes", mock.MatchedBy(
@@ -1735,9 +1734,8 @@ func TestStaticAutoscalerInstanceCreationErrors(t *testing.T) {
 	clusterState.UpdateNodes([]*apiv1.Node{}, nil, now)
 
 	// delete nodes with create errors
-	removedNodes, err = autoscaler.deleteCreatedNodesWithErrors()
+	removedNodes = autoscaler.deleteCreatedNodesWithErrors()
 	assert.True(t, removedNodes)
-	assert.NoError(t, err)
 
 	// nodes should be deleted again
 	nodeGroupA.AssertCalled(t, "DeleteNodes", mock.MatchedBy(
@@ -1800,9 +1798,8 @@ func TestStaticAutoscalerInstanceCreationErrors(t *testing.T) {
 	clusterState.UpdateNodes([]*apiv1.Node{}, nil, now)
 
 	// delete nodes with create errors
-	removedNodes, err = autoscaler.deleteCreatedNodesWithErrors()
+	removedNodes = autoscaler.deleteCreatedNodesWithErrors()
 	assert.False(t, removedNodes)
-	assert.NoError(t, err)
 
 	// we expect no more Delete Nodes
 	nodeGroupA.AssertNumberOfCalls(t, "DeleteNodes", 2)
@@ -1842,10 +1839,9 @@ func TestStaticAutoscalerInstanceCreationErrors(t *testing.T) {
 	// update cluster state
 	clusterState.UpdateNodes([]*apiv1.Node{}, nil, time.Now())
 
-	// return early on failed nodes without matching nodegroups
-	removedNodes, err = autoscaler.deleteCreatedNodesWithErrors()
+	// No nodes are deleted when failed nodes don't have matching node groups
+	removedNodes = autoscaler.deleteCreatedNodesWithErrors()
 	assert.False(t, removedNodes)
-	assert.Error(t, err)
 	nodeGroupC.AssertNumberOfCalls(t, "DeleteNodes", 0)
 
 	nodeGroupAtomic := &mockprovider.NodeGroup{}
@@ -1900,9 +1896,8 @@ func TestStaticAutoscalerInstanceCreationErrors(t *testing.T) {
 	clusterState.UpdateNodes([]*apiv1.Node{}, nil, now)
 
 	// delete nodes with create errors
-	removedNodes, err = autoscaler.deleteCreatedNodesWithErrors()
+	removedNodes = autoscaler.deleteCreatedNodesWithErrors()
 	assert.True(t, removedNodes)
-	assert.NoError(t, err)
 
 	nodeGroupAtomic.AssertCalled(t, "DeleteNodes", mock.MatchedBy(
 		func(nodes []*apiv1.Node) bool {