diff --git a/buildpack/images.go b/buildpack/images.go
index a542a3d4..df10c199 100644
--- a/buildpack/images.go
+++ b/buildpack/images.go
@@ -16,7 +16,7 @@ const (
 	buildpackMetadataLabel = "io.buildpacks.buildpackage.metadata"
 )
 
-func Rename(buildpack, tag, newID string) (string, error) {
+func Rename(buildpack, tag, newID, newVersion string) (string, error) {
 	reference, err := name.ParseReference(buildpack)
 	if err != nil {
 		return "", fmt.Errorf("unable to parse reference for existing buildpack tag\n%w", err)
@@ -39,7 +39,7 @@ func Rename(buildpack, tag, newID string) (string, error) {
 		return "", fmt.Errorf("unable to get buildpack layer metadata\n%w", err)
 	}
 
-	newLayersMetedata, layers, err := layerMetadata.metadataAndLayersFor(image, metadata.Id, metadata.Version, newID)
+	newLayersMetedata, layers, err := layerMetadata.metadataAndLayersFor(image, metadata.Id, metadata.Version, newID, newVersion)
 	if err != nil {
 		return "", fmt.Errorf("unable to generate new metadata\n%w", err)
 	}
@@ -55,6 +55,7 @@ func Rename(buildpack, tag, newID string) (string, error) {
 	}
 
 	metadata.Id = newID
+	metadata.Version = newVersion
 	newBuildpackage, err = SetLabels(newBuildpackage, map[string]interface{}{
 		layerMetadataLabel:     newLayersMetedata,
 		buildpackMetadataLabel: metadata,
@@ -83,7 +84,7 @@ func Rename(buildpack, tag, newID string) (string, error) {
 	return identifer, nil
 }
 
-func (m BuildpackLayerMetadata) metadataAndLayersFor(sourceImage v1.Image, oldId string, oldVersion string, newId string) (BuildpackLayerMetadata, []v1.Layer, error) {
+func (m BuildpackLayerMetadata) metadataAndLayersFor(sourceImage v1.Image, oldId string, oldVersion string, newId string, newVersion string) (BuildpackLayerMetadata, []v1.Layer, error) {
 	newLayerMetdata := BuildpackLayerMetadata{}
 
 	var layers []v1.Layer
@@ -121,9 +122,9 @@ func (m BuildpackLayerMetadata) metadataAndLayersFor(sourceImage v1.Image, oldId
 					return nil, nil, fmt.Errorf("unable to fetch layer by diff id %s for matching layer\n%w", diffId, err)
 				}
 
-				layer, err = rewriteLayer(layer, oldId, newId)
+				layer, err = rewriteLayer(layer, oldId, newId, oldVersion, newVersion)
 				if err != nil {
-					return nil, nil, fmt.Errorf("unable to rewrite layer, old id: %s, new id: %s\n%w", oldId, newId, err)
+					return nil, nil, fmt.Errorf("unable to rewrite layer, old id: %s, new id: %s, new version: %s\n%w", oldId, newId, newVersion, err)
 				}
 
 				diffID, err := layer.DiffID()
@@ -133,7 +134,7 @@ func (m BuildpackLayerMetadata) metadataAndLayersFor(sourceImage v1.Image, oldId
 
 				buildpack.LayerDiffID = diffID.String()
 
-				newLayerMetdata[newId][v] = buildpack
+				newLayerMetdata[newId][newVersion] = buildpack
 				layers = append(layers, layer)
 			}
 		}
diff --git a/buildpack/rewriteLayer.go b/buildpack/rewriteLayer.go
index 320aa454..e3297d42 100644
--- a/buildpack/rewriteLayer.go
+++ b/buildpack/rewriteLayer.go
@@ -13,7 +13,7 @@ import (
 	"github.com/google/go-containerregistry/pkg/v1/tarball"
 )
 
-func rewriteLayer(layer v1.Layer, old, new string) (v1.Layer, error) {
+func rewriteLayer(layer v1.Layer, oldID, newID, oldVersion, newVersion string) (v1.Layer, error) {
 	b := &bytes.Buffer{}
 	tw := tar.NewWriter(b)
 
@@ -30,8 +30,12 @@ func rewriteLayer(layer v1.Layer, old, new string) (v1.Layer, error) {
 			break
 		}
 
-		newName := strings.ReplaceAll(header.Name, escapedID(old), escapedID(new))
+		// replace buildpack id and version in folder names
+		newName := strings.ReplaceAll(
+			strings.ReplaceAll(header.Name, escapedID(oldID), escapedID(newID)),
+			oldVersion, newVersion)
 
+		// replace buildpack id and version in buildpack.toml
 		if strings.HasSuffix(path.Clean(header.Name), "buildpack.toml") {
 			buf, err := ioutil.ReadAll(tr)
 			if err != nil {
@@ -44,7 +48,8 @@ func rewriteLayer(layer v1.Layer, old, new string) (v1.Layer, error) {
 				return nil, fmt.Errorf("unable to decode buildpack.toml\n%w", err)
 			}
 
-			bd.Info.ID = new
+			bd.Info.ID = newID
+			bd.Info.Version = newVersion
 
 			updatedBuildpackToml := &bytes.Buffer{}
 			err = toml.NewEncoder(updatedBuildpackToml).Encode(bd)
diff --git a/cmd/update-buildpack-image-id/main.go b/cmd/update-buildpack-image-id/main.go
index 4cfb4d42..c8b8fce9 100644
--- a/cmd/update-buildpack-image-id/main.go
+++ b/cmd/update-buildpack-image-id/main.go
@@ -14,6 +14,7 @@ func main() {
 	image := flagSet.String("image", "", "The exisiting buildpack image")
 	newImage := flagSet.String("new-image", "", "The new buildpack image")
 	id := flagSet.String("id", "", "The new id of the buildpack")
+	version := flagSet.String("version", "", "The new version of the buildpack")
 
 	if err := flagSet.Parse(os.Args[1:]); err != nil {
 		log.Fatal(fmt.Errorf("unable to parse flags\n%w", err))
@@ -31,7 +32,11 @@ func main() {
 		log.Fatal("--id is required")
 	}
 
-	rename, err := buildpack.Rename(*image, *newImage, *id)
+	if *version == "" {
+		log.Fatal("--version is required")
+	}
+
+	rename, err := buildpack.Rename(*image, *newImage, *id, *version)
 	if err != nil {
 		log.Fatal(err)
 	}