diff --git a/values/dapr/manifests/dapr.yaml b/values/dapr/manifests/dapr.yaml
index 486f5b14..7ce3963a 100644
--- a/values/dapr/manifests/dapr.yaml
+++ b/values/dapr/manifests/dapr.yaml
@@ -41,6 +41,11 @@ spec:
     targetRevision: main
     ref: values
   project: sys
+  ignoreDifferences:
+    - kind: CustomResourceDefinition
+      name: subscriptions.dapr.io
+      jqPathExpressions:
+        - '.spec.conversion.webhook.clientConfig.service.namespace'
   syncPolicy:
     managedNamespaceMetadata:
       labels:
diff --git a/values/dapr/manifests/fix-crd-namespace.yaml b/values/dapr/manifests/fix-crd-namespace.yaml
new file mode 100644
index 00000000..ec2eed48
--- /dev/null
+++ b/values/dapr/manifests/fix-crd-namespace.yaml
@@ -0,0 +1,27 @@
+{{- if .Values.clusterConfig.kyverno.enabled }}
+apiVersion: kyverno.io/v1
+kind: ClusterPolicy
+metadata:
+  name: fixup-dapr-crds
+spec:
+  background: false
+  generateExisting: false
+  mutateExistingOnPolicyUpdate: true
+  rules:
+    - name: fix-subscriptions-webhook-namespace
+      match:
+        any:
+        - resources:
+            kinds:
+            - CustomResourceDefinition
+            names:
+            - subscriptions.dapr.io
+      mutate:
+        patchStrategicMerge:
+          spec:
+            conversion:
+              webhook:
+                clientConfig:
+                  service:
+                    namespace: dapr-system
+{{- end }}