diff --git a/src/Microsoft.Azure.Functions.PowerShellWorker.csproj b/src/Microsoft.Azure.Functions.PowerShellWorker.csproj
index 5bf78396..dd00e91a 100644
--- a/src/Microsoft.Azure.Functions.PowerShellWorker.csproj
+++ b/src/Microsoft.Azure.Functions.PowerShellWorker.csproj
@@ -21,7 +21,7 @@ Licensed under the MIT license. See LICENSE file in the project root for full li
 
   <ItemGroup>
     <PackageReference Include="Grpc.Core" Version="2.27.0" />
-    <PackageReference Include="Microsoft.PowerShell.SDK" Version="7.0.5" />
+    <PackageReference Include="Microsoft.PowerShell.SDK" Version="7.0.6" />
     <PackageReference Include="CommandLineParser" Version="2.3.0" />
     <PackageReference Include="Google.Protobuf" Version="3.11.4" />
   </ItemGroup>
diff --git a/test/Unit/Microsoft.Azure.Functions.PowerShellWorker.Test.csproj b/test/Unit/Microsoft.Azure.Functions.PowerShellWorker.Test.csproj
index 072f8a8c..4648a14a 100644
--- a/test/Unit/Microsoft.Azure.Functions.PowerShellWorker.Test.csproj
+++ b/test/Unit/Microsoft.Azure.Functions.PowerShellWorker.Test.csproj
@@ -10,7 +10,7 @@
     <PackageReference Include="Moq" Version="4.13.1" />
     <PackageReference Include="xunit" Version="2.3.1" />
     <PackageReference Include="xunit.runner.visualstudio" Version="2.3.1" />
-    <PackageReference Include="Microsoft.PowerShell.SDK" Version="7.0.5" />
+    <PackageReference Include="Microsoft.PowerShell.SDK" Version="7.0.6" />
   </ItemGroup>
 
   <ItemGroup>
diff --git a/tools/helper.psm1 b/tools/helper.psm1
index 0348f151..ed702717 100644
--- a/tools/helper.psm1
+++ b/tools/helper.psm1
@@ -7,8 +7,8 @@ using namespace System.Runtime.InteropServices
 
 $IsWindowsEnv = [RuntimeInformation]::IsOSPlatform([OSPlatform]::Windows)
 $RepoRoot = (Resolve-Path "$PSScriptRoot/..").Path
-$MinimalSDKVersion = '3.1.406'
-$DefaultSDKVersion = '3.1.406'
+$MinimalSDKVersion = '3.1.407'
+$DefaultSDKVersion = '3.1.407'
 $LocalDotnetDirPath = if ($IsWindowsEnv) { "$env:LocalAppData\Microsoft\dotnet" } else { "$env:HOME/.dotnet" }
 $GrpcToolsVersion = '2.27.0' # grpc.tools
 $GoogleProtobufToolsVersion = '3.11.4' # google.protobuf.tools