diff --git a/cli/azd/.vscode/cspell.yaml b/cli/azd/.vscode/cspell.yaml
index 97044171071..668b9562fe9 100644
--- a/cli/azd/.vscode/cspell.yaml
+++ b/cli/azd/.vscode/cspell.yaml
@@ -15,6 +15,7 @@ words:
   - Retryable
   - runcontext
   - unmarshals
+  - noprofile
   - usgovcloudapi
 languageSettings:
   - languageId: go
diff --git a/cli/azd/cmd/hooks.go b/cli/azd/cmd/hooks.go
index 09ef37c6b2b..0c57e11d7ea 100644
--- a/cli/azd/cmd/hooks.go
+++ b/cli/azd/cmd/hooks.go
@@ -236,6 +236,7 @@ func (hra *hooksRunAction) execHook(
 	defer hra.console.StopPreviewer(ctx, false)
 
 	runOptions := &tools.ExecOptions{StdOut: previewer}
+
 	err := hooksRunner.RunHooks(ctx, hookType, runOptions, commandName)
 	if err != nil {
 		return err
diff --git a/cli/azd/pkg/ext/hooks_runner.go b/cli/azd/pkg/ext/hooks_runner.go
index 2d87378568b..ff93e38fc28 100644
--- a/cli/azd/pkg/ext/hooks_runner.go
+++ b/cli/azd/pkg/ext/hooks_runner.go
@@ -159,6 +159,14 @@ func (h *HooksRunner) execHook(ctx context.Context, hookConfig *HookConfig, opti
 		defer h.console.StopPreviewer(ctx, false)
 	}
 
+	var isRunWithNoProfile bool
+	if hookConfig.Shell == "pwsh" {
+		if hookConfig.Run != "" {
+			isRunWithNoProfile = strings.Contains(strings.ToLower(hookConfig.Run), "-noprofile")
+		}
+	}
+	options.IsRunWithNoProfile = isRunWithNoProfile
+
 	log.Printf("Executing script '%s'\n", hookConfig.path)
 	res, err := script.Execute(ctx, hookConfig.path, *options)
 	if err != nil {
diff --git a/cli/azd/pkg/tools/powershell/powershell.go b/cli/azd/pkg/tools/powershell/powershell.go
index ca9fad66290..645481b78ec 100644
--- a/cli/azd/pkg/tools/powershell/powershell.go
+++ b/cli/azd/pkg/tools/powershell/powershell.go
@@ -25,7 +25,14 @@ type powershellScript struct {
 // Executes the specified powershell script
 // When interactive is true will attach to stdin, stdout & stderr
 func (bs *powershellScript) Execute(ctx context.Context, path string, options tools.ExecOptions) (exec.RunResult, error) {
-	runArgs := exec.NewRunArgs("pwsh", path).
+	cmdConfig := " -NoProfile"
+	normalCmd := "pwsh"
+
+	if options.IsRunWithNoProfile {
+		normalCmd += cmdConfig
+	}
+
+	runArgs := exec.NewRunArgs(normalCmd, path).
 		WithCwd(bs.cwd).
 		WithEnv(bs.envVars).
 		WithShell(true)
diff --git a/cli/azd/pkg/tools/script.go b/cli/azd/pkg/tools/script.go
index f111db99400..adda683df4f 100644
--- a/cli/azd/pkg/tools/script.go
+++ b/cli/azd/pkg/tools/script.go
@@ -9,8 +9,9 @@ import (
 
 // ExecOptions provide configuration for how scripts are executed
 type ExecOptions struct {
-	Interactive *bool
-	StdOut      io.Writer
+	Interactive        *bool
+	StdOut             io.Writer
+	IsRunWithNoProfile bool
 }
 
 // Utility to easily execute a bash script across platforms