diff --git a/tools/packaging/kernel/kata_config_version b/tools/packaging/kernel/kata_config_version
index 9e42f3ef01..cdffbbc4e9 100644
--- a/tools/packaging/kernel/kata_config_version
+++ b/tools/packaging/kernel/kata_config_version
@@ -1 +1 @@
-165
+166
diff --git a/versions.yaml b/versions.yaml
index 8f07be37b6..9e190cea66 100644
--- a/versions.yaml
+++ b/versions.yaml
@@ -200,7 +200,7 @@ assets:
     confidential:
       description: "Linux kernel with x86_64 TEEs (SNP and TDX) support"
       url: "https://cdn.kernel.org/pub/linux/kernel/v6.x/"
-      version: "v6.16.1"
+      version: "v6.16.7"
 
   kernel-arm-experimental:
     description: "Linux kernel with cpu/mem hotplug support on arm64"