diff --git a/pkg/cluster/deploybaseresources.go b/pkg/cluster/deploybaseresources.go
index 550247f29fb..5fa9af89457 100644
--- a/pkg/cluster/deploybaseresources.go
+++ b/pkg/cluster/deploybaseresources.go
@@ -190,10 +190,10 @@ func (m *manager) deployBaseResourceTemplate(ctx context.Context) error {
 	}
 
 	resources := []*arm.Resource{
-		m.storageAccount(clusterStorageAccountName, azureRegion, ocpSubnets, true),
+		m.storageAccount(clusterStorageAccountName, azureRegion, ocpSubnets, true, true),
 		m.storageAccountBlobContainer(clusterStorageAccountName, graph.IgnitionContainer),
 		m.storageAccountBlobContainer(clusterStorageAccountName, graph.GraphContainer),
-		m.storageAccount(m.doc.OpenShiftCluster.Properties.ImageRegistryStorageAccountName, azureRegion, ocpSubnets, true),
+		m.storageAccount(m.doc.OpenShiftCluster.Properties.ImageRegistryStorageAccountName, azureRegion, ocpSubnets, true, false),
 		m.storageAccountBlobContainer(m.doc.OpenShiftCluster.Properties.ImageRegistryStorageAccountName, "image-registry"),
 		m.clusterNSG(infraID, azureRegion),
 		m.networkPrivateLinkService(azureRegion),
diff --git a/pkg/cluster/deploybaseresources_additional.go b/pkg/cluster/deploybaseresources_additional.go
index 0a383d6babe..cb970cfca42 100644
--- a/pkg/cluster/deploybaseresources_additional.go
+++ b/pkg/cluster/deploybaseresources_additional.go
@@ -147,7 +147,7 @@ func (m *manager) fpspStorageBlobContributorRBAC(storageAccountName, principalID
 // storageAccount will return storage account resource.
 // Legacy storage accounts (public) are not encrypted and cannot be retrofitted.
 // The flag controls this behavior in update/create.
-func (m *manager) storageAccount(name, region string, ocpSubnets []string, encrypted bool) *arm.Resource {
+func (m *manager) storageAccount(name, region string, ocpSubnets []string, encrypted bool, setSasPolicy bool) *arm.Resource {
 	virtualNetworkRules := []mgmtstorage.VirtualNetworkRule{
 		{
 			VirtualNetworkResourceID: to.StringPtr("/subscriptions/" + m.env.SubscriptionID() + "/resourceGroups/" + m.env.ResourceGroup() + "/providers/Microsoft.Network/virtualNetworks/rp-pe-vnet-001/subnets/rp-pe-subnet"),
@@ -207,6 +207,15 @@ func (m *manager) storageAccount(name, region string, ocpSubnets []string, encry
 		Type:     to.StringPtr("Microsoft.Storage/storageAccounts"),
 	}
 
+	// For Workload Identity Cluster disable shared access keys, only User Delegated SAS are allowed
+	if m.doc.OpenShiftCluster.UsesWorkloadIdentity() && setSasPolicy {
+		sa.AllowSharedKeyAccess = to.BoolPtr(false)
+		sa.SasPolicy = &mgmtstorage.SasPolicy{
+			SasExpirationPeriod: to.StringPtr("0.01:00:00"),
+			ExpirationAction:    to.StringPtr("Log"),
+		}
+	}
+
 	// In development API calls originates from user laptop so we allow all.
 	// TODO: Move to development on VPN so we can make this IPRule.  Will be done as part of Simply secure v2 work
 	if m.env.IsLocalDevelopmentMode() {
diff --git a/pkg/cluster/storageaccounts.go b/pkg/cluster/storageaccounts.go
index b38d7981d06..b27d05e341d 100644
--- a/pkg/cluster/storageaccounts.go
+++ b/pkg/cluster/storageaccounts.go
@@ -30,8 +30,8 @@ func (m *manager) migrateStorageAccounts(ctx context.Context) error {
 		Schema:         "https://schema.management.azure.com/schemas/2015-01-01/deploymentTemplate.json#",
 		ContentVersion: "1.0.0.0",
 		Resources: []*arm.Resource{
-			m.storageAccount(clusterStorageAccountName, m.doc.OpenShiftCluster.Location, ocpSubnets, false),
-			m.storageAccount(registryStorageAccountName, m.doc.OpenShiftCluster.Location, ocpSubnets, false),
+			m.storageAccount(clusterStorageAccountName, m.doc.OpenShiftCluster.Location, ocpSubnets, false, true),
+			m.storageAccount(registryStorageAccountName, m.doc.OpenShiftCluster.Location, ocpSubnets, false, false),
 		},
 	}