diff --git a/src/vs/workbench/contrib/inlineChat/browser/inlineChatController.ts b/src/vs/workbench/contrib/inlineChat/browser/inlineChatController.ts
index b5c3d8f695d..45ab5461a97 100644
--- a/src/vs/workbench/contrib/inlineChat/browser/inlineChatController.ts
+++ b/src/vs/workbench/contrib/inlineChat/browser/inlineChatController.ts
@@ -203,7 +203,11 @@ export class InlineChatController implements IEditorContribution {
 		} else {
 			widgetPosition = this._strategy.getWidgetPosition();
 		}
-		this._zone.value.show((widgetPosition ?? this._zone.value.position) ?? this._activeSession.wholeRange.value.getEndPosition());
+		const position = ((widgetPosition ?? this._zone.value.position) ?? this._activeSession.wholeRange.value.getEndPosition());
+		this._zone.value.show(position);
+		if (initialRender) {
+			this._zone.value.setMargins(position);
+		}
 	}
 
 	protected async _nextState(state: State, options: InlineChatRunOptions | undefined): Promise<void> {
diff --git a/src/vs/workbench/contrib/inlineChat/browser/inlineChatWidget.ts b/src/vs/workbench/contrib/inlineChat/browser/inlineChatWidget.ts
index 53ffd4ace2e..f25ef458cfe 100644
--- a/src/vs/workbench/contrib/inlineChat/browser/inlineChatWidget.ts
+++ b/src/vs/workbench/contrib/inlineChat/browser/inlineChatWidget.ts
@@ -795,10 +795,9 @@ export class InlineChatZoneWidget extends ZoneWidget {
 		super.show(position, this._computeHeightInLines());
 		this.widget.focus();
 		this._ctxVisible.set(true);
-		this._setMargins(position);
 	}
 
-	private _setMargins(position: Position): void {
+	public setMargins(position: Position): void {
 		const viewModel = this.editor._getViewModel();
 		if (!viewModel) {
 			return;