diff --git a/metals/src/main/scala/scala/meta/internal/metals/BuildTargetInfo.scala b/metals/src/main/scala/scala/meta/internal/metals/BuildTargetInfo.scala
index 8fe949fbbad..cf45826ee98 100644
--- a/metals/src/main/scala/scala/meta/internal/metals/BuildTargetInfo.scala
+++ b/metals/src/main/scala/scala/meta/internal/metals/BuildTargetInfo.scala
@@ -5,6 +5,7 @@ import java.nio.file.Path
 import scala.collection.mutable.ListBuffer
 
 import scala.meta.internal.metals.MetalsEnrichments._
+import scala.meta.internal.mtags.URIEncoderDecoder
 
 import ch.epfl.scala.bsp4j.BuildTarget
 import ch.epfl.scala.bsp4j.BuildTargetIdentifier
diff --git a/metals/src/main/scala/scala/meta/internal/metals/FileDecoderProvider.scala b/metals/src/main/scala/scala/meta/internal/metals/FileDecoderProvider.scala
index 096b1dd6082..697eb19aa00 100644
--- a/metals/src/main/scala/scala/meta/internal/metals/FileDecoderProvider.scala
+++ b/metals/src/main/scala/scala/meta/internal/metals/FileDecoderProvider.scala
@@ -25,6 +25,7 @@ import scala.meta.internal.metals.clients.language.MetalsQuickPickItem
 import scala.meta.internal.metals.clients.language.MetalsQuickPickParams
 import scala.meta.internal.metap.Main
 import scala.meta.internal.mtags.SemanticdbClasspath
+import scala.meta.internal.mtags.URIEncoderDecoder
 import scala.meta.internal.parsing.ClassFinder
 import scala.meta.internal.parsing.ClassWithPos
 import scala.meta.io.AbsolutePath
diff --git a/metals/src/main/scala/scala/meta/internal/metals/URIEncoderDecoder.scala b/mtags/src/main/scala-2/scala/meta/internal/metals/URIEncoderDecoder.scala
similarity index 96%
rename from metals/src/main/scala/scala/meta/internal/metals/URIEncoderDecoder.scala
rename to mtags/src/main/scala-2/scala/meta/internal/metals/URIEncoderDecoder.scala
index 0955bcbeb57..989294efe2f 100644
--- a/metals/src/main/scala/scala/meta/internal/metals/URIEncoderDecoder.scala
+++ b/mtags/src/main/scala-2/scala/meta/internal/metals/URIEncoderDecoder.scala
@@ -1,4 +1,4 @@
-package scala.meta.internal.metals
+package scala.meta.internal.mtags
 
 object URIEncoderDecoder {
 
diff --git a/mtags/src/main/scala-2/scala/meta/internal/mtags/MtagsEnrichments.scala b/mtags/src/main/scala-2/scala/meta/internal/mtags/MtagsEnrichments.scala
index ebb36895945..5601e3b5f16 100644
--- a/mtags/src/main/scala-2/scala/meta/internal/mtags/MtagsEnrichments.scala
+++ b/mtags/src/main/scala-2/scala/meta/internal/mtags/MtagsEnrichments.scala
@@ -133,8 +133,13 @@ trait MtagsEnrichments extends CommonMtagsEnrichments {
         URLDecoder.decode(value, "UTF-8").toAbsolutePath(followSymlink)
       else if (value.toUpperCase.startsWith("JAR:FILE%3A"))
         URLDecoder.decode(value, "UTF-8").toAbsolutePath(followSymlink)
-      else
-        URI.create(value.stripPrefix("metals:")).toAbsolutePath(followSymlink)
+      else if (value.toUpperCase.startsWith("JAR"))
+        URI.create(value).toAbsolutePath(followSymlink)
+      else {
+        val stripped = value.stripPrefix("metals:")
+        val percentEncoded = URIEncoderDecoder.encode(stripped)
+        URI.create(percentEncoded).toAbsolutePath(followSymlink)
+      }
     }
     def lastIndexBetween(
         char: Char,
diff --git a/tests/unit/src/test/scala/tests/MetalsEnrichmentsSuite.scala b/tests/unit/src/test/scala/tests/MetalsEnrichmentsSuite.scala
index 837cfb3b0e0..aba9204d54a 100644
--- a/tests/unit/src/test/scala/tests/MetalsEnrichmentsSuite.scala
+++ b/tests/unit/src/test/scala/tests/MetalsEnrichmentsSuite.scala
@@ -22,10 +22,18 @@ class MetalsEnrichmentsSuite extends BaseSuite {
     assertEquals(relativeCreated, expected)
   }
 
-  test("uri-to-absolute-path") {
+  test("dont-decode-uri") {
     val uri =
       "file:///Users/happyMetalsUser/hello%20space%20world/src/main/scala/Main.scala"
     val path = uri.toAbsolutePath
     assert(path.toString().contains("hello space world"))
   }
+
+  test("encode-uri-space") {
+    val uri =
+      "file:///Users/happyMetalsUser/hello space+world/src/main/scala/Main.scala"
+    val path = uri.toAbsolutePath
+    assert(path.toString().contains("hello space+world"))
+  }
+
 }
diff --git a/tests/unit/src/test/scala/tests/UriEncoderDecoderSuite.scala b/tests/unit/src/test/scala/tests/UriEncoderDecoderSuite.scala
index fc2e677c1e5..ae6055946ef 100644
--- a/tests/unit/src/test/scala/tests/UriEncoderDecoderSuite.scala
+++ b/tests/unit/src/test/scala/tests/UriEncoderDecoderSuite.scala
@@ -1,6 +1,6 @@
 package tests
 
-import scala.meta.internal.metals.URIEncoderDecoder
+import scala.meta.internal.mtags.URIEncoderDecoder
 
 class UriEncoderDecoderSuite extends BaseSuite {