diff --git a/package.json b/package.json
index 893b0193bf..a29db59dd8 100644
--- a/package.json
+++ b/package.json
@@ -748,6 +748,11 @@
 					"type": "boolean",
 					"default": false,
 					"description": "%githubIssues.alwaysPromptForNewIssueRepo.description%"
+				},
+				"githubPullRequests.closeFileOnMarkFileAsViewed": {
+					"type": "boolean",
+					"description": "Close the diff editor automatically when marking a file as viewed from the editor title menu or via shortcut.",
+					"default": true
 				}
 			}
 		},
diff --git a/src/commands.ts b/src/commands.ts
index c3662762af..67f81ec262 100644
--- a/src/commands.ts
+++ b/src/commands.ts
@@ -12,7 +12,7 @@ import { CommentReply, findActiveHandler, resolveCommentHandler } from './commen
 import { COPILOT_LOGINS } from './common/copilot';
 import { commands } from './common/executeCommands';
 import Logger from './common/logger';
-import { FILE_LIST_LAYOUT, PR_SETTINGS_NAMESPACE } from './common/settingKeys';
+import { CLOSE_ON_MARK_FILE_AS_VIEWED, FILE_LIST_LAYOUT, PR_SETTINGS_NAMESPACE } from './common/settingKeys';
 import { editQuery } from './common/settingsUtils';
 import { ITelemetry } from './common/telemetry';
 import { asTempStorageURI, fromPRUri, fromReviewUri, Schemes, toPRUri } from './common/uri';
@@ -1441,18 +1441,23 @@ ${contents}
 				if (treeNode instanceof FileChangeNode) {
 					await treeNode.markFileAsViewed(false);
 				} else if (treeNode) {
-					// When the argument is a uri it came from the editor menu and we should also close the file
-					// Do the close first to improve perceived performance of marking as viewed.
-					const tab = vscode.window.tabGroups.activeTabGroup.activeTab;
-					if (tab) {
-						let compareUri: vscode.Uri | undefined = undefined;
-						if (tab.input instanceof vscode.TabInputTextDiff) {
-							compareUri = tab.input.modified;
-						} else if (tab.input instanceof vscode.TabInputText) {
-							compareUri = tab.input.uri;
-						}
-						if (compareUri && treeNode.toString() === compareUri.toString()) {
-							vscode.window.tabGroups.close(tab);
+					// When the argument is a uri it came from the editor menu. By default we close the editor
+					// after marking the file as viewed, but this can be controlled by a setting.
+					const shouldCloseEditor = vscode.workspace.getConfiguration(PR_SETTINGS_NAMESPACE)
+						.get<boolean>(CLOSE_ON_MARK_FILE_AS_VIEWED, true);
+					if (shouldCloseEditor) {
+						// Do the close first to improve perceived performance of marking as viewed.
+						const tab = vscode.window.tabGroups.activeTabGroup.activeTab;
+						if (tab) {
+							let compareUri: vscode.Uri | undefined = undefined;
+							if (tab.input instanceof vscode.TabInputTextDiff) {
+								compareUri = tab.input.modified;
+							} else if (tab.input instanceof vscode.TabInputText) {
+								compareUri = tab.input.uri;
+							}
+							if (compareUri && treeNode.toString() === compareUri.toString()) {
+								vscode.window.tabGroups.close(tab);
+							}
 						}
 					}
 
diff --git a/src/common/settingKeys.ts b/src/common/settingKeys.ts
index 9db3eeee8d..db5979a126 100644
--- a/src/common/settingKeys.ts
+++ b/src/common/settingKeys.ts
@@ -89,4 +89,5 @@ export const COLOR_THEME = 'colorTheme';
 
 export const CODING_AGENT = `${PR_SETTINGS_NAMESPACE}.codingAgent`;
 export const CODING_AGENT_ENABLED = 'enabled';
-export const CODING_AGENT_AUTO_COMMIT_AND_PUSH = 'autoCommitAndPush';
\ No newline at end of file
+export const CODING_AGENT_AUTO_COMMIT_AND_PUSH = 'autoCommitAndPush';
+export const CLOSE_ON_MARK_FILE_AS_VIEWED = 'closeFileOnMarkFileAsViewed';
\ No newline at end of file