diff --git a/cmd/cardano-up/uninstall.go b/cmd/cardano-up/uninstall.go
index 3a44cde..ab61928 100644
--- a/cmd/cardano-up/uninstall.go
+++ b/cmd/cardano-up/uninstall.go
@@ -24,8 +24,12 @@ import (
 	"github.com/spf13/cobra"
 )
 
+var uninstallFlags = struct {
+	keepData bool
+}{}
+
 func uninstallCommand() *cobra.Command {
-	return &cobra.Command{
+	uninstallCmd := &cobra.Command{
 		Use:   "uninstall",
 		Short: "Uninstall package",
 		Args: func(cmd *cobra.Command, args []string) error {
@@ -44,10 +48,12 @@ func uninstallCommand() *cobra.Command {
 				os.Exit(1)
 			}
 			// Uninstall package
-			if err := pm.Uninstall(args[0]); err != nil {
+			if err := pm.Uninstall(uninstallFlags.keepData, args[0]); err != nil {
 				slog.Error(err.Error())
 				os.Exit(1)
 			}
 		},
 	}
+	uninstallCmd.Flags().BoolVarP(&uninstallFlags.keepData, "keep-data", "k", false, "don't cleanup package data")
+	return uninstallCmd
 }
diff --git a/pkgmgr/package.go b/pkgmgr/package.go
index 983d42e..5bcd436 100644
--- a/pkgmgr/package.go
+++ b/pkgmgr/package.go
@@ -118,7 +118,7 @@ func (p Package) install(cfg Config, context string) (string, error) {
 	return "", nil
 }
 
-func (p Package) uninstall(cfg Config, context string) error {
+func (p Package) uninstall(cfg Config, context string, keepData bool) error {
 	pkgName := fmt.Sprintf("%s-%s-%s", p.Name, p.Version, context)
 	// Iterate over install steps in reverse
 	for idx := len(p.InstallSteps) - 1; idx >= 0; idx-- {
@@ -129,7 +129,7 @@ func (p Package) uninstall(cfg Config, context string) error {
 			return ErrMultipleInstallMethods
 		}
 		if installStep.Docker != nil {
-			if err := installStep.Docker.uninstall(cfg, pkgName); err != nil {
+			if err := installStep.Docker.uninstall(cfg, pkgName, keepData); err != nil {
 				return err
 			}
 		} else if installStep.File != nil {
@@ -140,6 +140,54 @@ func (p Package) uninstall(cfg Config, context string) error {
 			return ErrNoInstallMethods
 		}
 	}
+	if keepData {
+		cfg.Logger.Debug(
+			"skipping cleanup of package data/cache directories",
+		)
+	} else {
+		// Remove package cache dir
+		pkgCacheDir := filepath.Join(
+			cfg.CacheDir,
+			pkgName,
+		)
+		if err := os.RemoveAll(pkgCacheDir); err != nil {
+			cfg.Logger.Warn(
+				fmt.Sprintf(
+					"failed to remove package cache directory %q: %s",
+					pkgCacheDir,
+					err,
+				),
+			)
+		} else {
+			cfg.Logger.Debug(
+				fmt.Sprintf(
+					"removed package cache directory %q",
+					pkgCacheDir,
+				),
+			)
+		}
+		// Remove package data dir
+		pkgDataDir := filepath.Join(
+			cfg.DataDir,
+			pkgName,
+		)
+		if err := os.RemoveAll(pkgDataDir); err != nil {
+			cfg.Logger.Warn(
+				fmt.Sprintf(
+					"failed to remove package data directory %q: %s",
+					pkgDataDir,
+					err,
+				),
+			)
+		} else {
+			cfg.Logger.Debug(
+				fmt.Sprintf(
+					"removed package data directory %q",
+					pkgCacheDir,
+				),
+			)
+		}
+	}
 	return nil
 }
 
@@ -322,7 +370,7 @@ func (p *PackageInstallStepDocker) install(cfg Config, pkgName string) error {
 	return nil
 }
 
-func (p *PackageInstallStepDocker) uninstall(cfg Config, pkgName string) error {
+func (p *PackageInstallStepDocker) uninstall(cfg Config, pkgName string, keepData bool) error {
 	if !p.PullOnly {
 		containerName := fmt.Sprintf("%s-%s", pkgName, p.ContainerName)
 		svc, err := NewDockerServiceFromContainerName(containerName, cfg.Logger)
@@ -338,21 +386,30 @@ func (p *PackageInstallStepDocker) uninstall(cfg Config, pkgName string) error {
 			return err
 		}
 	}
-	if err := RemoveDockerImage(p.Image); err != nil {
+	if keepData {
 		cfg.Logger.Debug(
 			fmt.Sprintf(
-				"failed to delete image %q: %s",
+				"skipping deletion of docker image %q",
 				p.Image,
-				err,
 			),
 		)
 	} else {
-		cfg.Logger.Debug(
-			fmt.Sprintf(
-				"removed unused image %q",
-				p.Image,
-			),
-		)
+		if err := RemoveDockerImage(p.Image); err != nil {
+			cfg.Logger.Debug(
+				fmt.Sprintf(
+					"failed to delete image %q: %s",
+					p.Image,
+					err,
+				),
+			)
+		} else {
+			cfg.Logger.Debug(
+				fmt.Sprintf(
+					"removed unused image %q",
+					p.Image,
+				),
+			)
+		}
 	}
 	return nil
 }
@@ -415,7 +472,7 @@ func (p *PackageInstallStepFile) uninstall(cfg Config, pkgName string) error {
 	)
 	cfg.Logger.Debug(fmt.Sprintf("deleting file %s", filePath))
 	if err := os.Remove(filePath); err != nil {
-		cfg.Logger.Debug(fmt.Sprintf("failed to remove file %s", filePath))
+		cfg.Logger.Warn(fmt.Sprintf("failed to remove file %s", filePath))
 	}
 	if p.Binary {
 		binPath := filepath.Join(
@@ -423,7 +480,7 @@ func (p *PackageInstallStepFile) uninstall(cfg Config, pkgName string) error {
 			p.Filename,
 		)
 		if err := os.Remove(binPath); err != nil {
-			cfg.Logger.Debug(fmt.Sprintf("failed to remove symlink %s", binPath))
+			cfg.Logger.Warn(fmt.Sprintf("failed to remove symlink %s", binPath))
 		}
 	}
 	return nil
diff --git a/pkgmgr/pkgmgr.go b/pkgmgr/pkgmgr.go
index 982c8a3..2fc7583 100644
--- a/pkgmgr/pkgmgr.go
+++ b/pkgmgr/pkgmgr.go
@@ -219,7 +219,7 @@ func (p *PackageManager) Upgrade(pkgs ...string) error {
 			),
 		)
 		// Uninstall old version
-		if err := p.uninstallPackage(upgradePkg.Installed); err != nil {
+		if err := p.uninstallPackage(upgradePkg.Installed, true); err != nil {
 			return err
 		}
 		// Install new version
@@ -259,7 +259,7 @@ func (p *PackageManager) Upgrade(pkgs ...string) error {
 	return nil
 }
 
-func (p *PackageManager) Uninstall(pkgs ...string) error {
+func (p *PackageManager) Uninstall(keepData bool, pkgs ...string) error {
 	// Find installed packages
 	activeContextName, _ := p.ActiveContext()
 	installedPackages := p.InstalledPackages()
@@ -294,7 +294,7 @@ func (p *PackageManager) Uninstall(pkgs ...string) error {
 		return err
 	}
 	for _, uninstallPkg := range uninstallPkgs {
-		if err := p.uninstallPackage(uninstallPkg); err != nil {
+		if err := p.uninstallPackage(uninstallPkg, keepData); err != nil {
 			return err
 		}
 		if err := p.state.Save(); err != nil {
@@ -412,9 +412,9 @@ func (p *PackageManager) Info(pkgs ...string) error {
 	return nil
 }
 
-func (p *PackageManager) uninstallPackage(uninstallPkg InstalledPackage) error {
+func (p *PackageManager) uninstallPackage(uninstallPkg InstalledPackage, keepData bool) error {
 	// Uninstall package
-	if err := uninstallPkg.Package.uninstall(p.config, uninstallPkg.Context); err != nil {
+	if err := uninstallPkg.Package.uninstall(p.config, uninstallPkg.Context, keepData); err != nil {
 		return err
 	}
 	// Remove package from installed packages