diff --git a/packages/backend-core/src/cache/passwordReset.ts b/packages/backend-core/src/cache/passwordReset.ts
index 7f5a93f149..db32b520f7 100644
--- a/packages/backend-core/src/cache/passwordReset.ts
+++ b/packages/backend-core/src/cache/passwordReset.ts
@@ -1,6 +1,6 @@
 import * as redis from "../redis/init"
 import * as utils from "../utils"
-import { Duration, DurationType } from "../utils"
+import { Duration } from "../utils"
 
 const TTL_SECONDS = Duration.fromHours(1).toSeconds()
 
@@ -32,7 +32,18 @@ export async function getCode(code: string): Promise<PasswordReset> {
   const client = await redis.getPasswordResetClient()
   const value = (await client.get(code)) as PasswordReset | undefined
   if (!value) {
-    throw "Provided information is not valid, cannot reset password - please try again."
+    throw new Error(
+      "Provided information is not valid, cannot reset password - please try again."
+    )
   }
   return value
 }
+
+/**
+ * Given a reset code this will invalidate it.
+ * @param code The code provided via the email link.
+ */
+export async function invalidateCode(code: string): Promise<void> {
+  const client = await redis.getPasswordResetClient()
+  await client.delete(code)
+}
diff --git a/packages/backend-core/src/users/db.ts b/packages/backend-core/src/users/db.ts
index 326bed3cc5..01fa4899d1 100644
--- a/packages/backend-core/src/users/db.ts
+++ b/packages/backend-core/src/users/db.ts
@@ -2,7 +2,7 @@ import env from "../environment"
 import * as eventHelpers from "./events"
 import * as accountSdk from "../accounts"
 import * as cache from "../cache"
-import { doInTenant, getGlobalDB, getIdentity, getTenantId } from "../context"
+import { getGlobalDB, getIdentity, getTenantId } from "../context"
 import * as dbUtils from "../db"
 import { EmailUnavailableError, HTTPError } from "../errors"
 import * as platform from "../platform"
diff --git a/packages/worker/src/sdk/auth/auth.ts b/packages/worker/src/sdk/auth/auth.ts
index 1f9da8a260..3f24de440a 100644
--- a/packages/worker/src/sdk/auth/auth.ts
+++ b/packages/worker/src/sdk/auth/auth.ts
@@ -79,6 +79,9 @@ export const resetUpdate = async (resetCode: string, password: string) => {
   user.password = password
   user = await userSdk.db.save(user)
 
+  await cache.passwordReset.invalidateCode(resetCode)
+  await sessions.invalidateSessions(userId)
+
   // remove password from the user before sending events
   delete user.password
   await events.user.passwordReset(user)
diff --git a/packages/worker/src/sdk/auth/tests/auth.spec.ts b/packages/worker/src/sdk/auth/tests/auth.spec.ts
new file mode 100644
index 0000000000..e9f348f7c7
--- /dev/null
+++ b/packages/worker/src/sdk/auth/tests/auth.spec.ts
@@ -0,0 +1,70 @@
+import { cache, context, sessions, utils } from "@budibase/backend-core"
+import { loginUser, resetUpdate } from "../auth"
+import { generator, structures } from "@budibase/backend-core/tests"
+import { TestConfiguration } from "../../../tests"
+
+describe("auth", () => {
+  const config = new TestConfiguration()
+
+  describe("resetUpdate", () => {
+    it("providing a valid code will update the password", async () => {
+      await context.doInTenant(structures.tenant.id(), async () => {
+        const user = await config.createUser()
+        const previousPassword = user.password
+
+        const code = await cache.passwordReset.createCode(user._id!, {})
+        const newPassword = generator.hash()
+
+        await resetUpdate(code, newPassword)
+
+        const persistedUser = await config.getUser(user.email)
+        expect(persistedUser.password).not.toBe(previousPassword)
+        expect(
+          await utils.compare(newPassword, persistedUser.password!)
+        ).toBeTruthy()
+      })
+    })
+
+    it("wrong code will not allow to reset the password", async () => {
+      await context.doInTenant(structures.tenant.id(), async () => {
+        const code = generator.hash()
+        const newPassword = generator.hash()
+
+        await expect(resetUpdate(code, newPassword)).rejects.toThrow(
+          "Provided information is not valid, cannot reset password - please try again."
+        )
+      })
+    })
+
+    it("the same code cannot be used twice", async () => {
+      await context.doInTenant(structures.tenant.id(), async () => {
+        const user = await config.createUser()
+
+        const code = await cache.passwordReset.createCode(user._id!, {})
+        const newPassword = generator.hash()
+
+        await resetUpdate(code, newPassword)
+        await expect(resetUpdate(code, newPassword)).rejects.toThrow(
+          "Provided information is not valid, cannot reset password - please try again."
+        )
+      })
+    })
+
+    it("updating the password will invalidate all the sessions", async () => {
+      await context.doInTenant(structures.tenant.id(), async () => {
+        const user = await config.createUser()
+
+        await loginUser(user)
+
+        expect(await sessions.getSessionsForUser(user._id!)).toHaveLength(1)
+
+        const code = await cache.passwordReset.createCode(user._id!, {})
+        const newPassword = generator.hash()
+
+        await resetUpdate(code, newPassword)
+
+        expect(await sessions.getSessionsForUser(user._id!)).toHaveLength(0)
+      })
+    })
+  })
+})
diff --git a/packages/worker/src/sdk/users/tests/users.spec.ts b/packages/worker/src/sdk/users/tests/users.spec.ts
index df1aa74200..a02ca42c2f 100644
--- a/packages/worker/src/sdk/users/tests/users.spec.ts
+++ b/packages/worker/src/sdk/users/tests/users.spec.ts
@@ -1,6 +1,5 @@
 import { structures, mocks } from "../../../tests"
 import { env, context } from "@budibase/backend-core"
-import * as users from "../users"
 import { db as userDb } from "../"
 import { CloudAccount } from "@budibase/types"