diff --git a/es-configs/es_settings.xml b/es-configs/es_settings.xml
index 0b8ab539..9364318d 100644
--- a/es-configs/es_settings.xml
+++ b/es-configs/es_settings.xml
@@ -106,7 +106,7 @@
 <int name="SoundVolumeVideos" value="80" />
 <string name="ApplicationUpdaterFrequency" value="never" />
 <string name="ApplicationUpdaterLastCheck" value="20230331T153206" />
-<string name="ApplicationVersion" value="2.0.0" />
+<string name="ApplicationVersion" value="2.0.1" />
 <string name="CollectionCustomGrouping" value="unthemed" />
 <string name="CollectionSystemsAuto" value="" />
 <string name="CollectionSystemsCustom" value="" />
@@ -142,3 +142,4 @@
 <string name="ThemeVariant" value="" />
 <string name="UIMode" value="full" />
 <string name="UIMode_passkey" value="uuddlrlrba" />
+<string name="UserThemeDirectory" value="/home/deck/retrodeck/themes" />
diff --git a/functions.sh b/functions.sh
index 99c2d9f2..26d1edb6 100644
--- a/functions.sh
+++ b/functions.sh
@@ -1423,15 +1423,15 @@ prepare_emulator() {
       update_splashscreens
       dir_prep "$roms_folder" "/var/config/emulationstation/ROMs"
       dir_prep "$media_folder" "/var/config/emulationstation/.emulationstation/downloaded_media"
-      dir_prep "$themes_folder" "/var/config/emulationstation/.emulationstation/themes"
       dir_prep "$rdhome/gamelists" "/var/config/emulationstation/.emulationstation/gamelists"
       cp -f /app/retrodeck/es_settings.xml /var/config/emulationstation/.emulationstation/es_settings.xml
+      set_setting_value "es_settings.xml" "UserThemeDirectory" "$themes_folder" "es_settings"
     fi
     if [[ "$action" == "postmove" ]]; then
       dir_prep "$roms_folder" "/var/config/emulationstation/ROMs"
       dir_prep "$media_folder" "/var/config/emulationstation/.emulationstation/downloaded_media"
-      dir_prep "$themes_folder" "/var/config/emulationstation/.emulationstation/themes"
       dir_prep "$rdhome/gamelists" "/var/config/emulationstation/.emulationstation/gamelists"
+      set_setting_value "es_settings.xml" "UserThemeDirectory" "$themes_folder" "es_settings"
     fi
   fi
 
diff --git a/post_update.sh b/post_update.sh
index 2738c929..357f531b 100644
--- a/post_update.sh
+++ b/post_update.sh
@@ -79,6 +79,7 @@ post_update() {
     # - Clean up legacy tools files (Configurator is now accessible through the main ES-DE menu)
     # - Move Dolphin and Primehack save folder names
     # - Move PPSSPP saves/states to appropriate folders
+    # - Set ESDE user themes folder directly
 
     update_rd_conf # Expand retrodeck.cfg to latest template
     set_setting_value $rd_conf "screenshots_folder" "$rdhome/screenshots"
@@ -167,6 +168,9 @@ post_update() {
 
     dir_prep "$saves_folder/PSP/PPSSPP-SA" "/var/config/ppsspp/PSP/SAVEDATA"
     dir_prep "$states_folder/PSP/PPSSPP-SA" "/var/config/ppsspp/PSP/PPSSPP_STATE"
+
+    set_setting_value "es_settings.xml" "UserThemeDirectory" "$themes_folder" "es_settings"
+    unlink "/var/config/emulationstation/.emulationstation/themes"
   fi
 
   # The following commands are run every time.