diff --git a/prdoc/pr_8734.prdoc b/prdoc/pr_8734.prdoc
new file mode 100644
index 0000000000000..82e3ebc5cf727
--- /dev/null
+++ b/prdoc/pr_8734.prdoc
@@ -0,0 +1,7 @@
+title: '[pallet-revive] contract''s nonce starts at 1'
+doc:
+- audience: Runtime Dev
+  description: nonce starting value should be 1 see https://github.com/ethereum/EIPs/blob/master/EIPS/eip-161.md
+crates:
+- name: pallet-revive
+  bump: minor
diff --git a/substrate/frame/revive/src/exec.rs b/substrate/frame/revive/src/exec.rs
index 7797b7b2e475b..ee9b77513faf7 100644
--- a/substrate/frame/revive/src/exec.rs
+++ b/substrate/frame/revive/src/exec.rs
@@ -1143,6 +1143,9 @@ where
 				// account.
 				<System<T>>::inc_consumers(account_id)?;
 
+				// Contracts nonce starts at 1
+				<System<T>>::inc_account_nonce(account_id);
+
 				// Needs to be incremented before calling into the code so that it is visible
 				// in case of recursion.
 				<System<T>>::inc_account_nonce(caller.account_id()?);
diff --git a/substrate/frame/revive/src/exec/tests.rs b/substrate/frame/revive/src/exec/tests.rs
index ef2b165fd337b..6023b5974b810 100644
--- a/substrate/frame/revive/src/exec/tests.rs
+++ b/substrate/frame/revive/src/exec/tests.rs
@@ -1735,7 +1735,7 @@ fn nonce() {
 	});
 	let succ_succ_code = MockLoader::insert(Constructor, move |ctx, _| {
 		let alice_nonce = System::account_nonce(&ALICE);
-		assert_eq!(System::account_nonce(ctx.ext.account_id()), 0);
+		assert_eq!(System::account_nonce(ctx.ext.account_id()), 1);
 		assert_eq!(ctx.ext.caller().account_id().unwrap(), &ALICE);
 		let addr = ctx
 			.ext
@@ -1753,8 +1753,8 @@ fn nonce() {
 			<<Test as Config>::AddressMapper as AddressMapper<Test>>::to_fallback_account_id(&addr);
 
 		assert_eq!(System::account_nonce(&ALICE), alice_nonce);
-		assert_eq!(System::account_nonce(ctx.ext.account_id()), 1);
-		assert_eq!(System::account_nonce(&account_id), 0);
+		assert_eq!(System::account_nonce(ctx.ext.account_id()), 2);
+		assert_eq!(System::account_nonce(&account_id), 1);
 
 		// a plain call should not influence the account counter
 		ctx.ext
@@ -1762,8 +1762,8 @@ fn nonce() {
 			.unwrap();
 
 		assert_eq!(System::account_nonce(ALICE), alice_nonce);
-		assert_eq!(System::account_nonce(ctx.ext.account_id()), 1);
-		assert_eq!(System::account_nonce(&account_id), 0);
+		assert_eq!(System::account_nonce(ctx.ext.account_id()), 2);
+		assert_eq!(System::account_nonce(&account_id), 1);
 
 		exec_success()
 	});
diff --git a/substrate/frame/revive/src/tests.rs b/substrate/frame/revive/src/tests.rs
index b9251e1168b32..770ab77accdc4 100644
--- a/substrate/frame/revive/src/tests.rs
+++ b/substrate/frame/revive/src/tests.rs
@@ -3492,7 +3492,7 @@ fn create1_with_value_works() {
 		assert_ok!(builder::call(addr).value(value).data(code_hash.encode()).build());
 
 		// We should see the expected balance at the expected account
-		let address = crate::address::create1(&addr, 0);
+		let address = crate::address::create1(&addr, 1);
 		let account_id = <Test as Config>::AddressMapper::to_account_id(&address);
 		let usable_balance = <Test as Config>::Currency::usable_balance(&account_id);
 		assert_eq!(usable_balance, value);