diff --git a/public/app/features/dashboard-scene/panel-edit/LibraryVizPanelInfo.tsx b/public/app/features/dashboard-scene/panel-edit/LibraryVizPanelInfo.tsx
new file mode 100644
index 00000000000..bd741ee48fd
--- /dev/null
+++ b/public/app/features/dashboard-scene/panel-edit/LibraryVizPanelInfo.tsx
@@ -0,0 +1,58 @@
+import { css } from '@emotion/css';
+import React from 'react';
+
+import { GrafanaTheme2, dateTimeFormat } from '@grafana/data';
+import { useStyles2 } from '@grafana/ui';
+
+import { LibraryVizPanel } from '../scene/LibraryVizPanel';
+
+interface Props {
+  libraryPanel: LibraryVizPanel;
+}
+
+export const LibraryVizPanelInfo = ({ libraryPanel }: Props) => {
+  const styles = useStyles2(getStyles);
+
+  const libraryPanelState = libraryPanel.useState();
+  const tz = libraryPanelState.$timeRange?.getTimeZone();
+  const meta = libraryPanelState._loadedPanel?.meta;
+  if (!meta) {
+    return null;
+  }
+
+  return (
+    <div className={styles.info}>
+      <div className={styles.libraryPanelInfo}>
+        {`Used on ${meta.connectedDashboards} `}
+        {meta.connectedDashboards === 1 ? 'dashboard' : 'dashboards'}
+      </div>
+      <div className={styles.libraryPanelInfo}>
+        {dateTimeFormat(meta.updated, { format: 'L', timeZone: tz })} by
+        {meta.updatedBy.avatarUrl && (
+          <img className={styles.userAvatar} src={meta.updatedBy.avatarUrl} alt={`Avatar for ${meta.updatedBy.name}`} />
+        )}
+        {meta.updatedBy.name}
+      </div>
+    </div>
+  );
+};
+
+const getStyles = (theme: GrafanaTheme2) => {
+  return {
+    info: css({
+      lineHeight: 1,
+    }),
+    libraryPanelInfo: css({
+      color: theme.colors.text.secondary,
+      fontSize: theme.typography.bodySmall.fontSize,
+    }),
+    userAvatar: css({
+      borderRadius: theme.shape.radius.circle,
+      boxSizing: 'content-box',
+      width: '22px',
+      height: '22px',
+      paddingLeft: theme.spacing(1),
+      paddingRight: theme.spacing(1),
+    }),
+  };
+};
diff --git a/public/app/features/dashboard-scene/panel-edit/PanelEditor.test.ts b/public/app/features/dashboard-scene/panel-edit/PanelEditor.test.ts
index fe93e589fb2..ff8c44c2156 100644
--- a/public/app/features/dashboard-scene/panel-edit/PanelEditor.test.ts
+++ b/public/app/features/dashboard-scene/panel-edit/PanelEditor.test.ts
@@ -1,7 +1,10 @@
 import { PanelPlugin, PanelPluginMeta, PluginType } from '@grafana/data';
 import { SceneGridItem, SceneGridLayout, VizPanel } from '@grafana/scenes';
+import * as libAPI from 'app/features/library-panels/state/api';
 
 import { DashboardScene } from '../scene/DashboardScene';
+import { LibraryVizPanel } from '../scene/LibraryVizPanel';
+import { vizPanelToPanel } from '../serialization/transformSceneToSaveModel';
 import { activateFullSceneTree } from '../utils/test-utils';
 
 import { buildPanelEditScene } from './PanelEditor';
@@ -56,6 +59,64 @@ describe('PanelEditor', () => {
     });
   });
 
+  describe('Handling library panels', () => {
+    it('should call the api with the updated panel', async () => {
+      pluginToLoad = getTestPanelPlugin({ id: 'text', skipDataQuery: true });
+      const panel = new VizPanel({
+        key: 'panel-1',
+        pluginId: 'text',
+      });
+
+      const libraryPanelModel = {
+        title: 'title',
+        uid: 'uid',
+        name: 'libraryPanelName',
+        model: vizPanelToPanel(panel),
+        type: 'panel',
+        version: 1,
+      };
+
+      const libraryPanel = new LibraryVizPanel({
+        isLoaded: true,
+        title: libraryPanelModel.title,
+        uid: libraryPanelModel.uid,
+        name: libraryPanelModel.name,
+        panelKey: panel.state.key!,
+        panel: panel,
+        _loadedPanel: libraryPanelModel,
+      });
+
+      const apiCall = jest
+        .spyOn(libAPI, 'updateLibraryVizPanel')
+        .mockResolvedValue({ type: 'panel', ...libAPI.libraryVizPanelToSaveModel(libraryPanel), version: 2 });
+
+      const editScene = buildPanelEditScene(panel);
+      const gridItem = new SceneGridItem({ body: libraryPanel });
+      const scene = new DashboardScene({
+        editPanel: editScene,
+        isEditing: true,
+        body: new SceneGridLayout({
+          children: [gridItem],
+        }),
+      });
+
+      activateFullSceneTree(scene);
+
+      editScene.state.vizManager.state.panel.setState({ title: 'changed title' });
+      (editScene.state.vizManager.state.sourcePanel.resolve().parent as LibraryVizPanel).setState({
+        name: 'changed name',
+      });
+      editScene.state.vizManager.commitChanges();
+
+      const calledWith = apiCall.mock.calls[0][0].state;
+      expect(calledWith.panel?.state.title).toBe('changed title');
+      expect(calledWith.name).toBe('changed name');
+
+      await new Promise(process.nextTick); // Wait for mock api to return and update the library panel
+      expect((gridItem.state.body as LibraryVizPanel).state._loadedPanel?.version).toBe(2);
+    });
+  });
+
   describe('PanelDataPane', () => {
     it('should not exist if panel is skipDataQuery', () => {
       pluginToLoad = getTestPanelPlugin({ id: 'text', skipDataQuery: true });
diff --git a/public/app/features/dashboard-scene/panel-edit/PanelEditor.tsx b/public/app/features/dashboard-scene/panel-edit/PanelEditor.tsx
index ad1494a38e0..7d2a1ceee2e 100644
--- a/public/app/features/dashboard-scene/panel-edit/PanelEditor.tsx
+++ b/public/app/features/dashboard-scene/panel-edit/PanelEditor.tsx
@@ -4,8 +4,9 @@ import { NavIndex } from '@grafana/data';
 import { config, locationService } from '@grafana/runtime';
 import { SceneGridItem, SceneGridLayout, SceneObjectBase, SceneObjectState, VizPanel } from '@grafana/scenes';
 
+import { LibraryVizPanel } from '../scene/LibraryVizPanel';
 import { PanelRepeaterGridItem } from '../scene/PanelRepeaterGridItem';
-import { getPanelIdForVizPanel, getDashboardSceneFor } from '../utils/utils';
+import { getDashboardSceneFor, getPanelIdForVizPanel } from '../utils/utils';
 
 import { PanelDataPane } from './PanelDataPane/PanelDataPane';
 import { PanelEditorRenderer } from './PanelEditorRenderer';
@@ -18,6 +19,7 @@ export interface PanelEditorState extends SceneObjectState {
   optionsPane: PanelOptionsPane;
   dataPane?: PanelDataPane;
   vizManager: VizPanelManager;
+  showLibraryPanelSaveModal?: boolean;
 }
 
 export class PanelEditor extends SceneObjectBase<PanelEditorState> {
@@ -105,7 +107,10 @@ export class PanelEditor extends SceneObjectBase<PanelEditorState> {
     const normalToRepeat = !this._initialRepeatOptions.repeat && panelManager.state.repeat;
     const repeatToNormal = this._initialRepeatOptions.repeat && !panelManager.state.repeat;
 
-    if (sourcePanelParent instanceof SceneGridItem) {
+    if (sourcePanelParent instanceof LibraryVizPanel) {
+      // Library panels handled separately
+      return;
+    } else if (sourcePanelParent instanceof SceneGridItem) {
       if (normalToRepeat) {
         this.replaceSceneGridItemWithPanelRepeater(sourcePanelParent);
       } else {
@@ -197,6 +202,19 @@ export class PanelEditor extends SceneObjectBase<PanelEditorState> {
       height,
     });
   }
+
+  public onSaveLibraryPanel = () => {
+    this.setState({ showLibraryPanelSaveModal: true });
+  };
+
+  public onConfirmSaveLibraryPanel = () => {
+    this.state.vizManager.commitChanges();
+    locationService.partial({ editPanel: null });
+  };
+
+  public onDismissLibraryPanelModal = () => {
+    this.setState({ showLibraryPanelSaveModal: false });
+  };
 }
 
 export function buildPanelEditScene(panel: VizPanel): PanelEditor {
diff --git a/public/app/features/dashboard-scene/panel-edit/PanelEditorRenderer.tsx b/public/app/features/dashboard-scene/panel-edit/PanelEditorRenderer.tsx
index 9850f787517..38270d798f8 100644
--- a/public/app/features/dashboard-scene/panel-edit/PanelEditorRenderer.tsx
+++ b/public/app/features/dashboard-scene/panel-edit/PanelEditorRenderer.tsx
@@ -6,9 +6,10 @@ import { SceneComponentProps } from '@grafana/scenes';
 import { Button, ToolbarButton, useStyles2 } from '@grafana/ui';
 
 import { NavToolbarActions } from '../scene/NavToolbarActions';
-import { getDashboardSceneFor } from '../utils/utils';
+import { getDashboardSceneFor, getLibraryPanel } from '../utils/utils';
 
 import { PanelEditor } from './PanelEditor';
+import { SaveLibraryVizPanelModal } from './SaveLibraryVizPanelModal';
 import { useSnappingSplitter } from './splitter/useSnappingSplitter';
 
 export function PanelEditorRenderer({ model }: SceneComponentProps<PanelEditor>) {
@@ -57,7 +58,9 @@ export function PanelEditorRenderer({ model }: SceneComponentProps<PanelEditor>)
 
 function VizAndDataPane({ model }: SceneComponentProps<PanelEditor>) {
   const dashboard = getDashboardSceneFor(model);
-  const { vizManager, dataPane } = model.useState();
+  const { vizManager, dataPane, showLibraryPanelSaveModal } = model.useState();
+  const { sourcePanel } = vizManager.useState();
+  const libraryPanel = getLibraryPanel(sourcePanel.resolve());
   const { controls } = dashboard.useState();
   const styles = useStyles2(getStyles);
 
@@ -82,6 +85,14 @@ function VizAndDataPane({ model }: SceneComponentProps<PanelEditor>) {
         <div {...primaryProps}>
           <vizManager.Component model={vizManager} />
         </div>
+        {showLibraryPanelSaveModal && libraryPanel && (
+          <SaveLibraryVizPanelModal
+            libraryPanel={libraryPanel}
+            onDismiss={model.onDismissLibraryPanelModal}
+            onConfirm={model.onConfirmSaveLibraryPanel}
+            onDiscard={model.onDiscard}
+          ></SaveLibraryVizPanelModal>
+        )}
         {dataPane && (
           <>
             <div {...splitterProps} />
diff --git a/public/app/features/dashboard-scene/panel-edit/PanelOptions.test.tsx b/public/app/features/dashboard-scene/panel-edit/PanelOptions.test.tsx
new file mode 100644
index 00000000000..3b03ce0e093
--- /dev/null
+++ b/public/app/features/dashboard-scene/panel-edit/PanelOptions.test.tsx
@@ -0,0 +1,63 @@
+import { act, fireEvent, render } from '@testing-library/react';
+import React from 'react';
+
+import { SceneGridItem, VizPanel } from '@grafana/scenes';
+import { OptionFilter } from 'app/features/dashboard/components/PanelEditor/OptionsPaneOptions';
+
+import { LibraryVizPanel } from '../scene/LibraryVizPanel';
+import { vizPanelToPanel } from '../serialization/transformSceneToSaveModel';
+
+import { PanelOptions } from './PanelOptions';
+import { VizPanelManager } from './VizPanelManager';
+
+jest.mock('react-router-dom', () => ({
+  useLocation: () => ({
+    pathname: '',
+  }),
+}));
+
+describe('PanelOptions', () => {
+  it('gets library panel options when the editing a library panel', async () => {
+    const panel = new VizPanel({
+      key: 'panel-1',
+      pluginId: 'text',
+    });
+
+    const libraryPanelModel = {
+      title: 'title',
+      uid: 'uid',
+      name: 'libraryPanelName',
+      model: vizPanelToPanel(panel),
+      type: 'panel',
+      version: 1,
+    };
+
+    const libraryPanel = new LibraryVizPanel({
+      isLoaded: true,
+      title: libraryPanelModel.title,
+      uid: libraryPanelModel.uid,
+      name: libraryPanelModel.name,
+      panelKey: panel.state.key!,
+      panel: panel,
+      _loadedPanel: libraryPanelModel,
+    });
+
+    new SceneGridItem({ body: libraryPanel });
+
+    const panelManger = VizPanelManager.createFor(panel);
+
+    const panelOptions = (
+      <PanelOptions vizManager={panelManger} searchQuery="" listMode={OptionFilter.All}></PanelOptions>
+    );
+
+    const r = render(panelOptions);
+    const input = await r.findByTestId('library panel name input');
+    await act(async () => {
+      fireEvent.blur(input, { target: { value: 'new library panel name' } });
+    });
+
+    expect((panelManger.state.sourcePanel.resolve().parent as LibraryVizPanel).state.name).toBe(
+      'new library panel name'
+    );
+  });
+});
diff --git a/public/app/features/dashboard-scene/panel-edit/PanelOptions.tsx b/public/app/features/dashboard-scene/panel-edit/PanelOptions.tsx
index 988a7db4c9d..e9088b34535 100644
--- a/public/app/features/dashboard-scene/panel-edit/PanelOptions.tsx
+++ b/public/app/features/dashboard-scene/panel-edit/PanelOptions.tsx
@@ -4,7 +4,12 @@ import { sceneGraph } from '@grafana/scenes';
 import { OptionFilter, renderSearchHits } from 'app/features/dashboard/components/PanelEditor/OptionsPaneOptions';
 import { getFieldOverrideCategories } from 'app/features/dashboard/components/PanelEditor/getFieldOverrideElements';
 import { getPanelFrameCategory2 } from 'app/features/dashboard/components/PanelEditor/getPanelFrameOptions';
-import { getVisualizationOptions2 } from 'app/features/dashboard/components/PanelEditor/getVisualizationOptions';
+import {
+  getLibraryVizPanelOptionsCategory,
+  getVisualizationOptions2,
+} from 'app/features/dashboard/components/PanelEditor/getVisualizationOptions';
+
+import { LibraryVizPanel } from '../scene/LibraryVizPanel';
 
 import { VizPanelManager } from './VizPanelManager';
 
@@ -15,7 +20,8 @@ interface Props {
 }
 
 export const PanelOptions = React.memo<Props>(({ vizManager, searchQuery, listMode }) => {
-  const { panel, repeat } = vizManager.useState();
+  const { panel, sourcePanel, repeat } = vizManager.useState();
+  const parent = sourcePanel.resolve().parent;
   const { data } = sceneGraph.getData(panel).useState();
   const { options, fieldConfig } = panel.useState();
 
@@ -40,6 +46,13 @@ export const PanelOptions = React.memo<Props>(({ vizManager, searchQuery, listMo
     // eslint-disable-next-line react-hooks/exhaustive-deps
   }, [panel, options, fieldConfig]);
 
+  const libraryPanelOptions = useMemo(() => {
+    if (parent instanceof LibraryVizPanel) {
+      return getLibraryVizPanelOptionsCategory(parent);
+    }
+    return;
+  }, [parent]);
+
   const justOverrides = useMemo(
     () =>
       getFieldOverrideCategories(
@@ -62,11 +75,19 @@ export const PanelOptions = React.memo<Props>(({ vizManager, searchQuery, listMo
 
   if (isSearching) {
     mainBoxElements.push(
-      renderSearchHits([panelFrameOptions, ...(visualizationOptions ?? [])], justOverrides, searchQuery)
+      renderSearchHits(
+        [panelFrameOptions, ...(libraryPanelOptions ? [libraryPanelOptions] : []), ...(visualizationOptions ?? [])],
+        justOverrides,
+        searchQuery
+      )
     );
   } else {
     switch (listMode) {
       case OptionFilter.All:
+        if (libraryPanelOptions) {
+          // Library Panel options first
+          mainBoxElements.push(libraryPanelOptions.render());
+        }
         mainBoxElements.push(panelFrameOptions.render());
 
         for (const item of visualizationOptions ?? []) {
diff --git a/public/app/features/dashboard-scene/panel-edit/SaveLibraryVizPanelModal.tsx b/public/app/features/dashboard-scene/panel-edit/SaveLibraryVizPanelModal.tsx
new file mode 100644
index 00000000000..d1178a76aa5
--- /dev/null
+++ b/public/app/features/dashboard-scene/panel-edit/SaveLibraryVizPanelModal.tsx
@@ -0,0 +1,107 @@
+import React, { useCallback, useState } from 'react';
+import { useAsync, useDebounce } from 'react-use';
+
+import { Button, Icon, Input, Modal, useStyles2 } from '@grafana/ui';
+import { getConnectedDashboards } from 'app/features/library-panels/state/api';
+import { getModalStyles } from 'app/features/library-panels/styles';
+
+import { LibraryVizPanel } from '../scene/LibraryVizPanel';
+
+interface Props {
+  libraryPanel: LibraryVizPanel;
+  isUnsavedPrompt?: boolean;
+  onConfirm: () => void;
+  onDismiss: () => void;
+  onDiscard: () => void;
+}
+
+export const SaveLibraryVizPanelModal = ({ libraryPanel, isUnsavedPrompt, onDismiss, onConfirm, onDiscard }: Props) => {
+  const [searchString, setSearchString] = useState('');
+  const dashState = useAsync(async () => {
+    const searchHits = await getConnectedDashboards(libraryPanel.state.uid);
+    if (searchHits.length > 0) {
+      return searchHits.map((dash) => dash.title);
+    }
+
+    return [];
+  }, [libraryPanel.state.uid]);
+
+  const [filteredDashboards, setFilteredDashboards] = useState<string[]>([]);
+  useDebounce(
+    () => {
+      if (!dashState.value) {
+        return setFilteredDashboards([]);
+      }
+
+      return setFilteredDashboards(
+        dashState.value.filter((dashName) => dashName.toLowerCase().includes(searchString.toLowerCase()))
+      );
+    },
+    300,
+    [dashState.value, searchString]
+  );
+
+  const styles = useStyles2(getModalStyles);
+  const discardAndClose = useCallback(() => {
+    onDiscard();
+  }, [onDiscard]);
+
+  const title = isUnsavedPrompt ? 'Unsaved library panel changes' : 'Save library panel';
+
+  return (
+    <Modal title={title} icon="save" onDismiss={onDismiss} isOpen={true}>
+      <div>
+        <p className={styles.textInfo}>
+          {'This update will affect '}
+          <strong>
+            {libraryPanel.state._loadedPanel?.meta?.connectedDashboards}{' '}
+            {libraryPanel.state._loadedPanel?.meta?.connectedDashboards === 1 ? 'dashboard' : 'dashboards'}.
+          </strong>
+          The following dashboards using the panel will be affected:
+        </p>
+        <Input
+          className={styles.dashboardSearch}
+          prefix={<Icon name="search" />}
+          placeholder="Search affected dashboards"
+          value={searchString}
+          onChange={(e) => setSearchString(e.currentTarget.value)}
+        />
+        {dashState.loading ? (
+          <p>Loading connected dashboards...</p>
+        ) : (
+          <table className={styles.myTable}>
+            <thead>
+              <tr>
+                <th>Dashboard name</th>
+              </tr>
+            </thead>
+            <tbody>
+              {filteredDashboards.map((dashName, i) => (
+                <tr key={`dashrow-${i}`}>
+                  <td>{dashName}</td>
+                </tr>
+              ))}
+            </tbody>
+          </table>
+        )}
+        <Modal.ButtonRow>
+          <Button variant="secondary" onClick={onDismiss} fill="outline">
+            Cancel
+          </Button>
+          {isUnsavedPrompt && (
+            <Button variant="destructive" onClick={discardAndClose}>
+              Discard
+            </Button>
+          )}
+          <Button
+            onClick={() => {
+              onConfirm();
+            }}
+          >
+            Update all
+          </Button>
+        </Modal.ButtonRow>
+      </div>
+    </Modal>
+  );
+};
diff --git a/public/app/features/dashboard-scene/panel-edit/VizPanelManager.test.tsx b/public/app/features/dashboard-scene/panel-edit/VizPanelManager.test.tsx
index a33670c822a..3e13b91c3bc 100644
--- a/public/app/features/dashboard-scene/panel-edit/VizPanelManager.test.tsx
+++ b/public/app/features/dashboard-scene/panel-edit/VizPanelManager.test.tsx
@@ -2,15 +2,18 @@ import { map, of } from 'rxjs';
 
 import { DataQueryRequest, DataSourceApi, DataSourceInstanceSettings, LoadingState, PanelData } from '@grafana/data';
 import { locationService } from '@grafana/runtime';
-import { SceneQueryRunner, VizPanel } from '@grafana/scenes';
+import { SceneGridItem, SceneQueryRunner, VizPanel } from '@grafana/scenes';
 import { DataQuery, DataSourceJsonData, DataSourceRef } from '@grafana/schema';
 import { getDashboardSrv } from 'app/features/dashboard/services/DashboardSrv';
 import { InspectTab } from 'app/features/inspector/types';
+import * as libAPI from 'app/features/library-panels/state/api';
 import { SHARED_DASHBOARD_QUERY } from 'app/plugins/datasource/dashboard';
 import { DASHBOARD_DATASOURCE_PLUGIN_ID } from 'app/plugins/datasource/dashboard/types';
 
+import { LibraryVizPanel } from '../scene/LibraryVizPanel';
 import { PanelTimeRange, PanelTimeRangeState } from '../scene/PanelTimeRange';
 import { transformSaveModelToScene } from '../serialization/transformSaveModelToScene';
+import { vizPanelToPanel } from '../serialization/transformSceneToSaveModel';
 import { DashboardModelCompatibilityWrapper } from '../utils/DashboardModelCompatibilityWrapper';
 import { findVizPanelByKey } from '../utils/utils';
 
@@ -208,6 +211,47 @@ describe('VizPanelManager', () => {
     });
   });
 
+  describe('library panels', () => {
+    it('saves library panels on commit', () => {
+      const panel = new VizPanel({
+        key: 'panel-1',
+        pluginId: 'text',
+      });
+
+      const libraryPanelModel = {
+        title: 'title',
+        uid: 'uid',
+        name: 'libraryPanelName',
+        model: vizPanelToPanel(panel),
+        type: 'panel',
+        version: 1,
+      };
+
+      const libraryPanel = new LibraryVizPanel({
+        isLoaded: true,
+        title: libraryPanelModel.title,
+        uid: libraryPanelModel.uid,
+        name: libraryPanelModel.name,
+        panelKey: panel.state.key!,
+        panel: panel,
+        _loadedPanel: libraryPanelModel,
+      });
+
+      new SceneGridItem({ body: libraryPanel });
+
+      const panelManager = VizPanelManager.createFor(panel);
+
+      const apiCall = jest
+        .spyOn(libAPI, 'updateLibraryVizPanel')
+        .mockResolvedValue({ type: 'panel', ...libAPI.libraryVizPanelToSaveModel(libraryPanel) });
+
+      panelManager.state.panel.setState({ title: 'new title' });
+      panelManager.commitChanges();
+
+      expect(apiCall.mock.calls[0][0].state.panel?.state.title).toBe('new title');
+    });
+  });
+
   describe('query options', () => {
     beforeEach(() => {
       store.setObject.mockClear();
diff --git a/public/app/features/dashboard-scene/panel-edit/VizPanelManager.tsx b/public/app/features/dashboard-scene/panel-edit/VizPanelManager.tsx
index f2433db7f95..5f8c78e5b6a 100644
--- a/public/app/features/dashboard-scene/panel-edit/VizPanelManager.tsx
+++ b/public/app/features/dashboard-scene/panel-edit/VizPanelManager.tsx
@@ -13,28 +13,30 @@ import {
 } from '@grafana/data';
 import { config, getDataSourceSrv, locationService } from '@grafana/runtime';
 import {
-  SceneObjectState,
-  VizPanel,
-  SceneObjectBase,
-  SceneComponentProps,
-  sceneUtils,
   DeepPartial,
-  SceneQueryRunner,
-  sceneGraph,
-  SceneDataTransformer,
   PanelBuilders,
+  SceneComponentProps,
+  SceneDataTransformer,
   SceneGridItem,
+  SceneObjectBase,
   SceneObjectRef,
+  SceneObjectState,
+  SceneQueryRunner,
+  VizPanel,
+  sceneGraph,
+  sceneUtils,
 } from '@grafana/scenes';
 import { DataQuery, DataTransformerConfig, Panel } from '@grafana/schema';
 import { useStyles2 } from '@grafana/ui';
 import { getPluginVersion } from 'app/features/dashboard/state/PanelModel';
 import { getLastUsedDatasourceFromStorage } from 'app/features/dashboard/utils/dashboard';
 import { storeLastUsedDataSourceInLocalStorage } from 'app/features/datasources/components/picker/utils';
+import { updateLibraryVizPanel } from 'app/features/library-panels/state/api';
 import { updateQueries } from 'app/features/query/state/updateQueries';
 import { GrafanaQuery } from 'app/plugins/datasource/grafana/types';
 import { QueryGroupOptions } from 'app/types';
 
+import { LibraryVizPanel } from '../scene/LibraryVizPanel';
 import { PanelRepeaterGridItem, RepeatDirection } from '../scene/PanelRepeaterGridItem';
 import { PanelTimeRange, PanelTimeRangeState } from '../scene/PanelTimeRange';
 import { gridItemToPanel } from '../serialization/transformSceneToSaveModel';
@@ -346,6 +348,24 @@ export class VizPanelManager extends SceneObjectBase<VizPanelManagerState> {
         }),
       });
     }
+
+    if (sourcePanel.parent instanceof LibraryVizPanel) {
+      if (sourcePanel.parent.parent instanceof SceneGridItem) {
+        const newLibPanel = sourcePanel.parent.clone({
+          panel: this.state.panel.clone({
+            $data: this.state.$data?.clone(),
+          }),
+        });
+        sourcePanel.parent.parent.setState({
+          body: newLibPanel,
+        });
+        updateLibraryVizPanel(newLibPanel!).then((p) => {
+          if (sourcePanel.parent instanceof LibraryVizPanel) {
+            newLibPanel.setPanelFromLibPanel(p);
+          }
+        });
+      }
+    }
   }
 
   /**
diff --git a/public/app/features/dashboard-scene/scene/DashboardSceneUrlSync.ts b/public/app/features/dashboard-scene/scene/DashboardSceneUrlSync.ts
index fb02736233e..d46bf382f61 100644
--- a/public/app/features/dashboard-scene/scene/DashboardSceneUrlSync.ts
+++ b/public/app/features/dashboard-scene/scene/DashboardSceneUrlSync.ts
@@ -14,7 +14,7 @@ import appEvents from 'app/core/app_events';
 import { PanelInspectDrawer } from '../inspect/PanelInspectDrawer';
 import { buildPanelEditScene } from '../panel-edit/PanelEditor';
 import { createDashboardEditViewFor } from '../settings/utils';
-import { findVizPanelByKey, getDashboardSceneFor, isLibraryPanelChild, isPanelClone } from '../utils/utils';
+import { findVizPanelByKey, getDashboardSceneFor, getLibraryPanel, isPanelClone } from '../utils/utils';
 
 import { DashboardScene, DashboardSceneState } from './DashboardScene';
 import { LibraryVizPanel } from './LibraryVizPanel';
@@ -66,7 +66,7 @@ export class DashboardSceneUrlSync implements SceneObjectUrlSyncHandler {
         return;
       }
 
-      if (isLibraryPanelChild(panel)) {
+      if (getLibraryPanel(panel)) {
         this._handleLibraryPanel(panel, (p) => {
           if (p.state.key === undefined) {
             // Inspect drawer require a panel key to be set
@@ -105,7 +105,7 @@ export class DashboardSceneUrlSync implements SceneObjectUrlSyncHandler {
         return;
       }
 
-      if (isLibraryPanelChild(panel)) {
+      if (getLibraryPanel(panel)) {
         this._handleLibraryPanel(panel, (p) => this._buildLibraryPanelViewScene(p));
         return;
       }
@@ -119,6 +119,7 @@ export class DashboardSceneUrlSync implements SceneObjectUrlSyncHandler {
     if (typeof values.editPanel === 'string') {
       const panel = findVizPanelByKey(this._scene, values.editPanel);
       if (!panel) {
+        console.warn(`Panel ${values.editPanel} not found`);
         return;
       }
 
@@ -126,10 +127,11 @@ export class DashboardSceneUrlSync implements SceneObjectUrlSyncHandler {
       if (!isEditing) {
         this._scene.onEnterEditMode();
       }
-      if (isLibraryPanelChild(panel)) {
+      if (getLibraryPanel(panel)) {
         this._handleLibraryPanel(panel, (p) => {
           this._scene.setState({ editPanel: buildPanelEditScene(p) });
         });
+        return;
       }
       update.editPanel = buildPanelEditScene(panel);
     } else if (editPanel && values.editPanel === null) {
diff --git a/public/app/features/dashboard-scene/scene/LibraryVizPanel.tsx b/public/app/features/dashboard-scene/scene/LibraryVizPanel.tsx
index b7692f08a90..6efd02644ef 100644
--- a/public/app/features/dashboard-scene/scene/LibraryVizPanel.tsx
+++ b/public/app/features/dashboard-scene/scene/LibraryVizPanel.tsx
@@ -51,64 +51,67 @@ export class LibraryVizPanel extends SceneObjectBase<LibraryVizPanelState> {
     }
   };
 
+  public setPanelFromLibPanel(libPanel: LibraryPanel) {
+    if (this.state._loadedPanel?.version === libPanel.version) {
+      return;
+    }
+
+    const libPanelModel = new PanelModel(libPanel.model);
+
+    const vizPanelState: VizPanelState = {
+      title: libPanelModel.title,
+      key: this.state.panelKey,
+      options: libPanelModel.options ?? {},
+      fieldConfig: libPanelModel.fieldConfig,
+      pluginId: libPanelModel.type,
+      pluginVersion: libPanelModel.pluginVersion,
+      displayMode: libPanelModel.transparent ? 'transparent' : undefined,
+      description: libPanelModel.description,
+      $data: createPanelDataProvider(libPanelModel),
+      menu: new VizPanelMenu({ $behaviors: [panelMenuBehavior] }),
+      titleItems: [
+        new VizPanelLinks({
+          rawLinks: libPanelModel.links,
+          menu: new VizPanelLinksMenu({ $behaviors: [panelLinksBehavior] }),
+        }),
+        new PanelNotices(),
+      ],
+    };
+
+    const panel = new VizPanel(vizPanelState);
+    const gridItem = this.parent;
+
+    if (libPanelModel.repeat && gridItem instanceof SceneGridItem && gridItem.parent instanceof SceneGridLayout) {
+      this._parent = undefined;
+      const repeater = new PanelRepeaterGridItem({
+        key: gridItem.state.key,
+        x: gridItem.state.x,
+        y: gridItem.state.y,
+        width: libPanelModel.repeatDirection === 'h' ? 24 : gridItem.state.width,
+        height: gridItem.state.height,
+        itemHeight: gridItem.state.height,
+        source: this,
+        variableName: libPanelModel.repeat,
+        repeatedPanels: [],
+        repeatDirection: libPanelModel.repeatDirection === 'h' ? 'h' : 'v',
+        maxPerRow: libPanelModel.maxPerRow,
+      });
+      gridItem.parent.setState({
+        children: gridItem.parent.state.children.map((child) =>
+          child.state.key === gridItem.state.key ? repeater : child
+        ),
+      });
+    }
+
+    this.setState({ panel, _loadedPanel: libPanel, isLoaded: true, name: libPanel.name });
+  }
+
   private async loadLibraryPanelFromPanelModel() {
     let vizPanel = this.state.panel!;
 
     try {
       const libPanel = await getLibraryPanel(this.state.uid, true);
-
-      if (this.state._loadedPanel?.version === libPanel.version) {
-        return;
-      }
-
-      const libPanelModel = new PanelModel(libPanel.model);
-
-      const vizPanelState: VizPanelState = {
-        title: this.state.title,
-        key: this.state.panelKey,
-        options: libPanelModel.options ?? {},
-        fieldConfig: libPanelModel.fieldConfig,
-        pluginId: libPanelModel.type,
-        pluginVersion: libPanelModel.pluginVersion,
-        displayMode: libPanelModel.transparent ? 'transparent' : undefined,
-        description: libPanelModel.description,
-        $data: createPanelDataProvider(libPanelModel),
-        menu: new VizPanelMenu({ $behaviors: [panelMenuBehavior] }),
-        titleItems: [
-          new VizPanelLinks({
-            rawLinks: libPanelModel.links,
-            menu: new VizPanelLinksMenu({ $behaviors: [panelLinksBehavior] }),
-          }),
-          new PanelNotices(),
-        ],
-      };
-
-      const panel = new VizPanel(vizPanelState);
-      const gridItem = this.parent;
-
-      if (libPanelModel.repeat && gridItem instanceof SceneGridItem && gridItem.parent instanceof SceneGridLayout) {
-        this._parent = undefined;
-        const repeater = new PanelRepeaterGridItem({
-          key: gridItem.state.key,
-          x: gridItem.state.x,
-          y: gridItem.state.y,
-          width: libPanelModel.repeatDirection === 'h' ? 24 : gridItem.state.width,
-          height: gridItem.state.height,
-          itemHeight: gridItem.state.height,
-          source: this,
-          variableName: libPanelModel.repeat,
-          repeatedPanels: [],
-          repeatDirection: libPanelModel.repeatDirection === 'h' ? 'h' : 'v',
-          maxPerRow: libPanelModel.maxPerRow,
-        });
-        gridItem.parent.setState({
-          children: gridItem.parent.state.children.map((child) =>
-            child.state.key === gridItem.state.key ? repeater : child
-          ),
-        });
-      }
-
-      this.setState({ panel, _loadedPanel: libPanel, isLoaded: true });
+      this.setPanelFromLibPanel(libPanel);
     } catch (err) {
       vizPanel.setState({
         _pluginLoadError: `Unable to load library panel: ${this.state.uid}`,
diff --git a/public/app/features/dashboard-scene/scene/NavToolbarActions.tsx b/public/app/features/dashboard-scene/scene/NavToolbarActions.tsx
index 31a30316fde..9bfd56f1555 100644
--- a/public/app/features/dashboard-scene/scene/NavToolbarActions.tsx
+++ b/public/app/features/dashboard-scene/scene/NavToolbarActions.tsx
@@ -18,6 +18,7 @@ import { dynamicDashNavActions } from '../utils/registerDynamicDashNavAction';
 
 import { DashboardScene } from './DashboardScene';
 import { GoToSnapshotOriginButton } from './GoToSnapshotOriginButton';
+import { LibraryVizPanel } from './LibraryVizPanel';
 
 interface Props {
   dashboard: DashboardScene;
@@ -56,6 +57,9 @@ export function ToolbarActions({ dashboard }: Props) {
   const buttonWithExtraMargin = useStyles2(getStyles);
   const isEditingPanel = Boolean(editPanel);
   const isViewingPanel = Boolean(viewPanelScene);
+  const isEditingLibraryPanel = Boolean(
+    editPanel?.state.vizManager.state.sourcePanel.resolve().parent instanceof LibraryVizPanel
+  );
   const hasCopiedPanel = Boolean(copiedPanel);
 
   toolbarActions.push({
@@ -233,7 +237,7 @@ export function ToolbarActions({ dashboard }: Props) {
 
   toolbarActions.push({
     group: 'back-button',
-    condition: isViewingPanel || isEditingPanel,
+    condition: (isViewingPanel || isEditingPanel) && !isEditingLibraryPanel,
     render: () => (
       <Button
         onClick={() => {
@@ -347,7 +351,7 @@ export function ToolbarActions({ dashboard }: Props) {
 
   toolbarActions.push({
     group: 'main-buttons',
-    condition: isEditingPanel && !editview && !meta.isNew && !isViewingPanel,
+    condition: isEditingPanel && !isEditingLibraryPanel && !editview && !meta.isNew && !isViewingPanel,
     render: () => (
       <Button
         onClick={editPanel?.onDiscard}
@@ -364,7 +368,41 @@ export function ToolbarActions({ dashboard }: Props) {
 
   toolbarActions.push({
     group: 'main-buttons',
-    condition: isEditing && (meta.canSave || canSaveAs),
+    condition: isEditingPanel && isEditingLibraryPanel && !editview && !isViewingPanel,
+    render: () => (
+      <Button
+        onClick={editPanel?.onDiscard}
+        tooltip="Discard library panel changes"
+        size="sm"
+        key="discardLibraryPanel"
+        fill="outline"
+        variant="destructive"
+      >
+        Discard library panel changes
+      </Button>
+    ),
+  });
+
+  toolbarActions.push({
+    group: 'main-buttons',
+    condition: isEditingPanel && isEditingLibraryPanel && !editview && !isViewingPanel,
+    render: () => (
+      <Button
+        onClick={editPanel?.onSaveLibraryPanel}
+        tooltip="Save library panel"
+        size="sm"
+        key="saveLibraryPanel"
+        fill="outline"
+        variant="primary"
+      >
+        Save library panel
+      </Button>
+    ),
+  });
+
+  toolbarActions.push({
+    group: 'main-buttons',
+    condition: isEditing && !isEditingLibraryPanel && (meta.canSave || canSaveAs),
     render: () => {
       // if we  only can save
       if (meta.isNew) {
diff --git a/public/app/features/dashboard-scene/scene/PanelMenuBehavior.tsx b/public/app/features/dashboard-scene/scene/PanelMenuBehavior.tsx
index de31e624675..756ccb9258d 100644
--- a/public/app/features/dashboard-scene/scene/PanelMenuBehavior.tsx
+++ b/public/app/features/dashboard-scene/scene/PanelMenuBehavior.tsx
@@ -43,7 +43,6 @@ export function panelMenuBehavior(menu: VizPanelMenu, isRepeat = false) {
 
     const items: PanelMenuItem[] = [];
     const moreSubMenu: PanelMenuItem[] = [];
-    const panelId = getPanelIdForVizPanel(panel);
     const dashboard = getDashboardSceneFor(panel);
     const { isEmbedded } = dashboard.state.meta;
     const exploreMenuItem = await getExploreMenuItem(panel);
@@ -72,7 +71,7 @@ export function panelMenuBehavior(menu: VizPanelMenu, isRepeat = false) {
         iconClassName: 'eye',
         shortcut: 'e',
         onClick: () => DashboardInteractions.panelMenuItemClicked('edit'),
-        href: getEditPanelUrl(panelId),
+        href: getEditPanelUrl(getPanelIdForVizPanel(panel)),
       });
     }
 
diff --git a/public/app/features/dashboard-scene/utils/utils.ts b/public/app/features/dashboard-scene/utils/utils.ts
index 00d50ee41d7..780c4b0445c 100644
--- a/public/app/features/dashboard-scene/utils/utils.ts
+++ b/public/app/features/dashboard-scene/utils/utils.ts
@@ -239,6 +239,9 @@ export function getDefaultRow(dashboard: DashboardScene): SceneGridRow {
   });
 }
 
-export function isLibraryPanelChild(vizPanel: VizPanel) {
-  return vizPanel.parent instanceof LibraryVizPanel;
+export function getLibraryPanel(vizPanel: VizPanel): LibraryVizPanel | undefined {
+  if (vizPanel.parent instanceof LibraryVizPanel) {
+    return vizPanel.parent;
+  }
+  return;
 }
diff --git a/public/app/features/dashboard/components/PanelEditor/getVisualizationOptions.tsx b/public/app/features/dashboard/components/PanelEditor/getVisualizationOptions.tsx
index 5493b472259..ebcd9658a9f 100644
--- a/public/app/features/dashboard/components/PanelEditor/getVisualizationOptions.tsx
+++ b/public/app/features/dashboard/components/PanelEditor/getVisualizationOptions.tsx
@@ -11,11 +11,14 @@ import {
 } from '@grafana/data';
 import { PanelOptionsSupplier } from '@grafana/data/src/panel/PanelPlugin';
 import {
-  isNestedPanelOptions,
   NestedValueAccess,
   PanelOptionsEditorBuilder,
+  isNestedPanelOptions,
 } from '@grafana/data/src/utils/OptionsUIBuilders';
 import { VizPanel } from '@grafana/scenes';
+import { Input } from '@grafana/ui';
+import { LibraryVizPanelInfo } from 'app/features/dashboard-scene/panel-edit/LibraryVizPanelInfo';
+import { LibraryVizPanel } from 'app/features/dashboard-scene/scene/LibraryVizPanel';
 import { getDataLinksVariableSuggestions } from 'app/features/panel/panellinks/link_srv';
 
 import { OptionsPaneCategoryDescriptor } from './OptionsPaneCategoryDescriptor';
@@ -148,6 +151,43 @@ export function getVisualizationOptions(props: OptionPaneRenderProps): OptionsPa
   return Object.values(categoryIndex);
 }
 
+export function getLibraryVizPanelOptionsCategory(libraryPanel: LibraryVizPanel): OptionsPaneCategoryDescriptor {
+  const descriptor = new OptionsPaneCategoryDescriptor({
+    title: 'Library panel options',
+    id: 'Library panel options',
+    isOpenDefault: true,
+  });
+
+  descriptor
+    .addItem(
+      new OptionsPaneItemDescriptor({
+        title: 'Name',
+        value: libraryPanel,
+        popularRank: 1,
+        render: function renderName() {
+          return (
+            <Input
+              id="LibraryPanelFrameName"
+              data-testid="library panel name input"
+              defaultValue={libraryPanel.state.name}
+              onBlur={(e) => libraryPanel.setState({ name: e.currentTarget.value })}
+            />
+          );
+        },
+      })
+    )
+    .addItem(
+      new OptionsPaneItemDescriptor({
+        title: 'Information',
+        render: function renderLibraryPanelInformation() {
+          return <LibraryVizPanelInfo libraryPanel={libraryPanel} />;
+        },
+      })
+    );
+
+  return descriptor;
+}
+
 export interface OptionPaneRenderProps2 {
   panel: VizPanel;
   eventBus: EventBus;
diff --git a/public/app/features/library-panels/state/api.ts b/public/app/features/library-panels/state/api.ts
index 1b3b77a027e..cf224b52bc7 100644
--- a/public/app/features/library-panels/state/api.ts
+++ b/public/app/features/library-panels/state/api.ts
@@ -2,6 +2,8 @@ import { lastValueFrom } from 'rxjs';
 
 import { defaultDashboard } from '@grafana/schema';
 import { DashboardModel } from 'app/features/dashboard/state';
+import { LibraryVizPanel } from 'app/features/dashboard-scene/scene/LibraryVizPanel';
+import { vizPanelToPanel } from 'app/features/dashboard-scene/serialization/transformSceneToSaveModel';
 
 import { getBackendSrv } from '../../../core/services/backend_srv';
 import { DashboardSearchItem } from '../../search/types';
@@ -133,3 +135,28 @@ export async function getConnectedDashboards(uid: string): Promise<DashboardSear
 
   return searchHits;
 }
+
+export function libraryVizPanelToSaveModel(libraryPanel: LibraryVizPanel) {
+  const { panel, uid, name, _loadedPanel } = libraryPanel.state;
+  const saveModel = {
+    uid,
+    folderUID: _loadedPanel?.folderUid,
+    name,
+    version: _loadedPanel?.version || 0,
+    model: vizPanelToPanel(panel!),
+    kind: LibraryElementKind.Panel,
+  };
+  return saveModel;
+}
+
+export async function updateLibraryVizPanel(libraryPanel: LibraryVizPanel): Promise<LibraryElementDTO> {
+  const { uid, folderUID, name, model, version, kind } = libraryVizPanelToSaveModel(libraryPanel);
+  const { result } = await getBackendSrv().patch(`/api/library-elements/${uid}`, {
+    folderUID,
+    name,
+    model,
+    version,
+    kind,
+  });
+  return result;
+}