diff --git a/specs/gloas/builder.md b/specs/gloas/builder.md
index 462c4b2928..af465eede4 100644
--- a/specs/gloas/builder.md
+++ b/specs/gloas/builder.md
@@ -123,8 +123,11 @@ to include. They produce a `SignedExecutionPayloadBid` as follows.
     `get_proposer_dependent_root(parent_state, compute_epoch_at_slot(bid.slot))`,
     where `parent_state` is the post-state of `bid.parent_block_root`.
 07. Set `bid.gas_limit` to be the gas limit of the constructed payload, which
-    must match the `gas_limit` in the `SignedProposerPreferences` referenced in
-    step 6.
+    **MUST** satisfy
+    `is_gas_limit_target_compatible(parent_gas_limit, bid.gas_limit, target_gas_limit)`,
+    where `parent_gas_limit` is the `gas_limit` of the parent execution payload
+    and `target_gas_limit` is the `target_gas_limit` in the
+    `SignedProposerPreferences` referenced in step 6.
 08. Set `bid.builder_index` to be the index of the builder performing these
     actions.
 09. Set `bid.slot` to be the slot for which this bid is aimed. This slot
diff --git a/specs/gloas/fork.md b/specs/gloas/fork.md
index c1182d89b8..75dbb1a376 100644
--- a/specs/gloas/fork.md
+++ b/specs/gloas/fork.md
@@ -182,6 +182,7 @@ def upgrade_to_gloas(pre: fulu.BeaconState) -> BeaconState:
         # [New in Gloas:EIP7732]
         latest_execution_payload_bid=ExecutionPayloadBid(
             block_hash=pre.latest_execution_payload_header.block_hash,
+            gas_limit=pre.latest_execution_payload_header.gas_limit,
             execution_requests_root=hash_tree_root(ExecutionRequests()),
         ),
         # [New in Gloas:EIP7732]
diff --git a/specs/gloas/p2p-interface.md b/specs/gloas/p2p-interface.md
index b81edab548..5b4ead9244 100644
--- a/specs/gloas/p2p-interface.md
+++ b/specs/gloas/p2p-interface.md
@@ -90,7 +90,7 @@ class ProposerPreferences(Container):
     proposal_slot: Slot
     validator_index: ValidatorIndex
     fee_recipient: ExecutionAddress
-    gas_limit: uint64
+    target_gas_limit: uint64
 ```
 
 #### New `SignedProposerPreferences`
@@ -347,7 +347,6 @@ where `parent_state` is the post-state of `bid.parent_block_root`, and the alias
   `is_active_builder(state, bid.builder_index)` returns `True`.
 - _[REJECT]_ `bid.execution_payment == 0`.
 - _[REJECT]_ `bid.fee_recipient == proposer_preferences.fee_recipient`.
-- _[REJECT]_ `bid.gas_limit == proposer_preferences.gas_limit`.
 - _[REJECT]_ The length of KZG commitments is less than or equal to the
   limitation defined in the consensus layer -- i.e. validate that
   `len(bid.blob_kzg_commitments) <= get_blob_parameters(compute_epoch_at_slot(bid.slot)).max_blobs_per_block`.
@@ -358,12 +357,34 @@ where `parent_state` is the post-state of `bid.parent_block_root`, and the alias
 - _[IGNORE]_ `bid.value` is less or equal than the builder's excess balance --
   i.e. `can_builder_cover_bid(state, builder_index, amount)` returns `True`.
 - _[IGNORE]_ `bid.parent_block_hash` is the block hash of a known execution
-  payload in fork choice.
+  payload in fork choice and
+  `is_gas_limit_target_compatible(parent_gas_limit, bid.gas_limit, proposer_preferences.target_gas_limit)`
+  is `True` where `parent_gas_limit` is the `gas_limit` of that execution
+  payload.
 - _[IGNORE]_ `bid.parent_block_root` is the hash tree root of a known beacon
   block in fork choice.
 - _[REJECT]_ `signed_execution_payload_bid.signature` is valid with respect to
   the `bid.builder_index`.
 
+```python
+def is_gas_limit_target_compatible(
+    parent_gas_limit: uint64, gas_limit: uint64, target_gas_limit: uint64
+) -> bool:
+    """
+    Check if ``gas_limit`` is compatible with ``target_gas_limit`` under the
+    EIP-1559 transition rule from ``parent_gas_limit``.
+    """
+    max_gas_limit_difference = max(parent_gas_limit // 1024, 1) - 1
+    min_gas_limit = parent_gas_limit - max_gas_limit_difference
+    max_gas_limit = parent_gas_limit + max_gas_limit_difference
+
+    if target_gas_limit >= min_gas_limit and target_gas_limit <= max_gas_limit:
+        return gas_limit == target_gas_limit
+    if target_gas_limit > max_gas_limit:
+        return gas_limit == max_gas_limit
+    return gas_limit == min_gas_limit
+```
+
 *Note*: Implementations SHOULD include DoS prevention measures to mitigate spam
 from malicious builders submitting numerous bids with minimal value increments.
 Possible strategies include: (1) only forwarding bids that exceed the current
@@ -376,7 +397,7 @@ bid at regular time intervals.
 
 This topic is used to propagate signed proposer preferences as
 `SignedProposerPreferences`. These messages allow validators to communicate
-their preferred `fee_recipient` and `gas_limit` to builders.
+their preferred `fee_recipient` and `target_gas_limit` to builders.
 
 The following validations MUST pass before forwarding the
 `signed_proposer_preferences` on the network, assuming the alias
diff --git a/specs/gloas/validator.md b/specs/gloas/validator.md
index bfb8149a1c..c7caaace69 100644
--- a/specs/gloas/validator.md
+++ b/specs/gloas/validator.md
@@ -128,9 +128,9 @@ A validator MAY broadcast `SignedProposerPreferences` messages to the
 `get_upcoming_proposal_slots(state, validator_index)`. These include any future
 proposal slots within the proposer lookahead, i.e. the current epoch up to
 `MIN_SEED_LOOKAHEAD` epochs ahead. This allows builders to construct execution
-payloads with the validator's preferred `fee_recipient` and `gas_limit`. If a
-validator does not broadcast a `SignedProposerPreferences` message, this implies
-that the validator will not accept any trustless bids for that slot.
+payloads with the validator's preferred `fee_recipient` and `target_gas_limit`.
+If a validator does not broadcast a `SignedProposerPreferences` message, this
+implies that the validator will not accept any trustless bids for that slot.
 
 ```python
 def get_upcoming_proposal_slots(
@@ -162,8 +162,8 @@ To construct each `SignedProposerPreferences`:
 4. Set `preferences.validator_index` to the validator's index.
 5. Set `preferences.fee_recipient` to the execution address where the validator
    wishes to receive the builder payment.
-6. Set `preferences.gas_limit` to the validator's preferred gas limit for this
-   execution payload.
+6. Set `preferences.target_gas_limit` to the validator's preferred gas limit for
+   this execution payload.
 7. Instantiate a new `SignedProposerPreferences` object as `signed_preferences`.
 8. Set `signed_preferences.message` to `preferences`.
 9. Set `signed_preferences.signature` to the result of
diff --git a/tests/core/pyspec/eth_consensus_specs/test/gloas/unittests/test_is_gas_limit_target_compatible.py b/tests/core/pyspec/eth_consensus_specs/test/gloas/unittests/test_is_gas_limit_target_compatible.py
new file mode 100644
index 0000000000..46d011ec32
--- /dev/null
+++ b/tests/core/pyspec/eth_consensus_specs/test/gloas/unittests/test_is_gas_limit_target_compatible.py
@@ -0,0 +1,58 @@
+from eth_consensus_specs.test.context import (
+    single_phase,
+    spec_test,
+    with_gloas_and_later,
+)
+
+
+@with_gloas_and_later
+@spec_test
+@single_phase
+def test_increase_within_limit(spec):
+    assert spec.is_gas_limit_target_compatible(60_000_000, 60_000_100, 60_000_100)
+
+
+@with_gloas_and_later
+@spec_test
+@single_phase
+def test_increase_exceeding_limit(spec):
+    # max_gas_limit_difference = 60_000_000 // 1024 - 1 = 58_592
+    assert spec.is_gas_limit_target_compatible(60_000_000, 60_058_592, 100_000_000)
+
+
+@with_gloas_and_later
+@spec_test
+@single_phase
+def test_increase_exceeding_limit_off_by_one_fails(spec):
+    # gas_limit one above max_gas_limit (= 60_058_592) must fail (off by one)
+    assert not spec.is_gas_limit_target_compatible(60_000_000, 60_058_593, 100_000_000)
+
+
+@with_gloas_and_later
+@spec_test
+@single_phase
+def test_decrease_within_limit(spec):
+    assert spec.is_gas_limit_target_compatible(60_000_000, 59_999_990, 59_999_990)
+
+
+@with_gloas_and_later
+@spec_test
+@single_phase
+def test_decrease_exceeding_limit(spec):
+    # max_gas_limit_difference = 60_000_000 // 1024 - 1 = 58_592
+    assert spec.is_gas_limit_target_compatible(60_000_000, 59_941_408, 30_000_000)
+
+
+@with_gloas_and_later
+@spec_test
+@single_phase
+def test_target_equals_parent(spec):
+    assert spec.is_gas_limit_target_compatible(60_000_000, 60_000_000, 60_000_000)
+
+
+@with_gloas_and_later
+@spec_test
+@single_phase
+def test_parent_gas_limit_underflows(spec):
+    # parent_gas_limit // 1024 = 0; guard clamps to max(0, 1) - 1 = 0 (no underflow)
+    assert spec.is_gas_limit_target_compatible(1023, 1023, 60_000_000)