diff --git a/Makefile b/Makefile
index 19e9a4ac63b..40552ef8d6b 100644
--- a/Makefile
+++ b/Makefile
@@ -16,7 +16,6 @@ exe : $(LEXER_HS)
 
 init: ## Set up git hooks and ignored revisions
 	@git config core.hooksPath .githooks
-	## TODO
 
 style: ## Run the code styler
 	@find Cabal Cabal-syntax cabal-install -name '*.hs' \
diff --git a/cabal-install/src/Distribution/Client/Init/Defaults.hs b/cabal-install/src/Distribution/Client/Init/Defaults.hs
index 9be998feda7..e0e39622198 100644
--- a/cabal-install/src/Distribution/Client/Init/Defaults.hs
+++ b/cabal-install/src/Distribution/Client/Init/Defaults.hs
@@ -67,7 +67,7 @@ defaultTestDir :: String
 defaultTestDir = "test"
 
 defaultCabalVersion :: CabalSpecVersion
-defaultCabalVersion = CabalSpecV3_0
+defaultCabalVersion = CabalSpecV3_4
 
 defaultPackageType :: PackageType
 defaultPackageType = Executable
diff --git a/cabal-install/src/Distribution/Client/Init/Interactive/Command.hs b/cabal-install/src/Distribution/Client/Init/Interactive/Command.hs
index 2fab0db25cc..b358c38a9bb 100644
--- a/cabal-install/src/Distribution/Client/Init/Interactive/Command.hs
+++ b/cabal-install/src/Distribution/Client/Init/Interactive/Command.hs
@@ -306,7 +306,7 @@ cabalVersionPrompt flags = getCabalVersion flags $ do
     parseCabalVersion "2.4" = CabalSpecV2_4
     parseCabalVersion "3.0" = CabalSpecV3_0
     parseCabalVersion "3.4" = CabalSpecV3_4
-    parseCabalVersion _ = defaultCabalVersion -- 2.4
+    parseCabalVersion _ = defaultCabalVersion -- 3.4
     displayCabalVersion :: CabalSpecVersion -> String
     displayCabalVersion v = case v of
       CabalSpecV2_0 -> "2.0   (support for Backpack, internal sub-libs, '^>=' operator)"
diff --git a/changelog.d/pr-8978 b/changelog.d/pr-8978
new file mode 100644
index 00000000000..fa6b04fa676
--- /dev/null
+++ b/changelog.d/pr-8978
@@ -0,0 +1,9 @@
+synopsis: Use the latest cabal spec in the interactive package init
+packages: cabal-install
+prs: #8978
+
+description: {
+
+`cabal init` will now suggest version spec 3.4 when initialising new packages
+
+}