diff --git a/frontend/src/component/layout/MainLayout/NavigationSidebar/NavigationSidebar.tsx b/frontend/src/component/layout/MainLayout/NavigationSidebar/NavigationSidebar.tsx
index 36f29c4318..d150258a30 100644
--- a/frontend/src/component/layout/MainLayout/NavigationSidebar/NavigationSidebar.tsx
+++ b/frontend/src/component/layout/MainLayout/NavigationSidebar/NavigationSidebar.tsx
@@ -45,13 +45,7 @@ import CorsIcon from '@mui/icons-material/StorageOutlined';
 import BillingIcon from '@mui/icons-material/CreditCardOutlined';
 import SignOutIcon from '@mui/icons-material/ExitToApp';
 import { ReactComponent as ProjectIcon } from 'assets/icons/projectIconSmall.svg';
-import {
-    type FC,
-    type ReactNode,
-    useCallback,
-    useEffect,
-    useState,
-} from 'react';
+import { type FC, type ReactNode, useCallback, useEffect } from 'react';
 import { getCondensedRoutes, getRoutes } from '../../../menu/routes';
 import { useAdminRoutes } from '../../../admin/useAdminRoutes';
 import { filterByConfig, mapRouteLink } from 'component/common/util';
@@ -64,6 +58,7 @@ import ChevronLeftIcon from '@mui/icons-material/ChevronLeft';
 import GitHubIcon from '@mui/icons-material/GitHub';
 import LibraryBooksIcon from '@mui/icons-material/LibraryBooks';
 import { basePath } from 'utils/formatPath';
+import { useLocalStorageState } from 'hooks/useLocalStorageState';
 
 export const StyledProjectIcon = styled(ProjectIcon)(({ theme }) => ({
     fill: theme.palette.neutral.main,
@@ -276,7 +271,10 @@ const useShowBadge = () => {
 };
 
 const useNavigationMode = () => {
-    const [mode, setMode] = useState<'mini' | 'full'>('full');
+    const [mode, setMode] = useLocalStorageState<'mini' | 'full'>(
+        'navigation-mode:v1',
+        'full',
+    );
     useEffect(() => {
         const handleKeyDown = (event: KeyboardEvent) => {
             if (event.key === 'b' && (event.metaKey || event.ctrlKey)) {
diff --git a/frontend/src/hooks/useLocalStorageState.test.tsx b/frontend/src/hooks/useLocalStorageState.test.tsx
new file mode 100644
index 0000000000..8134125885
--- /dev/null
+++ b/frontend/src/hooks/useLocalStorageState.test.tsx
@@ -0,0 +1,61 @@
+import { useLocalStorageState } from './useLocalStorageState';
+import { createLocalStorage } from '../utils/createLocalStorage';
+import { render } from 'utils/testRenderer';
+import { screen, waitFor } from '@testing-library/react';
+import type { FC } from 'react';
+
+const TestComponent: FC<{
+    keyName: string;
+    initialValue: any;
+}> = ({ keyName, initialValue }) => {
+    const [value, setValue] = useLocalStorageState(keyName, initialValue);
+
+    return (
+        <div>
+            <span data-testid='storedValue'>{value}</span>
+            <button
+                type='submit'
+                onClick={() => setValue('updatedValue')}
+                data-testid='updateButton'
+            />
+        </div>
+    );
+};
+
+describe('useLocalStorageState', () => {
+    beforeEach(() => {
+        window.localStorage.clear();
+    });
+
+    it('should initialize with the initial value if local storage is empty', () => {
+        render(<TestComponent keyName='testKey' initialValue='initialValue' />);
+
+        expect(screen.getByTestId('storedValue').textContent).toBe(
+            'initialValue',
+        );
+    });
+
+    it('updates the local storage and state when value changes', async () => {
+        render(<TestComponent keyName='testKey' initialValue='initialValue' />);
+
+        screen.getByTestId('updateButton').click();
+
+        expect(screen.getByTestId('storedValue').textContent).toBe(
+            'updatedValue',
+        );
+        await waitFor(() => {
+            const { value } = createLocalStorage('testKey', {});
+            expect(value).toStrictEqual('updatedValue');
+        });
+    });
+
+    it('initializes with the value from local storage if available', async () => {
+        createLocalStorage('testKey', {}).setValue('storedValue');
+
+        render(<TestComponent keyName='testKey' initialValue='initialValue' />);
+
+        expect(screen.getByTestId('storedValue').textContent).toBe(
+            'storedValue',
+        );
+    });
+});
diff --git a/frontend/src/hooks/useLocalStorageState.ts b/frontend/src/hooks/useLocalStorageState.ts
new file mode 100644
index 0000000000..8e3dd4dedc
--- /dev/null
+++ b/frontend/src/hooks/useLocalStorageState.ts
@@ -0,0 +1,18 @@
+import { useEffect, useState } from 'react';
+import { createLocalStorage } from '../utils/createLocalStorage';
+
+export const useLocalStorageState = <T extends object | string>(
+    key: string,
+    initialValue: T,
+) => {
+    const { value: initialStoredValue, setValue: setStoredValue } =
+        createLocalStorage<T>(key, initialValue);
+
+    const [localValue, setLocalValue] = useState<T>(initialStoredValue);
+
+    useEffect(() => {
+        setStoredValue(localValue);
+    }, [localValue]);
+
+    return [localValue, setLocalValue] as const;
+};
diff --git a/frontend/src/utils/createLocalStorage.ts b/frontend/src/utils/createLocalStorage.ts
index 4ba52f8f24..f1d9e11562 100644
--- a/frontend/src/utils/createLocalStorage.ts
+++ b/frontend/src/utils/createLocalStorage.ts
@@ -1,7 +1,7 @@
 import { basePath } from './formatPath';
 import { getLocalStorageItem, setLocalStorageItem } from './storage';
 
-export const createLocalStorage = <T extends object>(
+export const createLocalStorage = <T extends object | string>(
     key: string,
     initialValue: T,
 ) => {