diff --git a/src/server/system_services/bucket_server.js b/src/server/system_services/bucket_server.js
index f4f994d73b..f4cd2d75ef 100644
--- a/src/server/system_services/bucket_server.js
+++ b/src/server/system_services/bucket_server.js
@@ -294,6 +294,9 @@ async function create_bucket(req) {
             bucket.bucket_claim = req.rpc_params.bucket_claim;
         }
         bucket.force_md5_etag = req.rpc_params.force_md5_etag;
+        bucket.encryption = {
+            "algorithm": "AES256",
+        };
         changes.insert.buckets = [bucket];
         changes.insert.master_keys = [bucket_m_key];
 
diff --git a/src/test/system_tests/ceph_s3_tests/s3-tests-lists/s3_tests_pending_list.txt b/src/test/system_tests/ceph_s3_tests/s3-tests-lists/s3_tests_pending_list.txt
index 3bb3389001..ffabfa6b42 100644
--- a/src/test/system_tests/ceph_s3_tests/s3-tests-lists/s3_tests_pending_list.txt
+++ b/src/test/system_tests/ceph_s3_tests/s3-tests-lists/s3_tests_pending_list.txt
@@ -140,4 +140,6 @@ s3tests_boto3/functional/test_s3.py::test_lifecycle_expiration_size_lt
 s3tests_boto3/functional/test_s3.py::test_object_lock_delete_multipart_object_with_retention
 s3tests_boto3/functional/test_s3.py::test_object_lock_delete_multipart_object_with_legal_hold_on
 s3tests_boto3/functional/test_s3.py::test_get_undefined_public_block
-s3tests_boto3/functional/test_s3.py::test_get_public_block_deny_bucket_policy
\ No newline at end of file
+s3tests_boto3/functional/test_s3.py::test_get_public_block_deny_bucket_policy
+s3tests_boto3/functional/test_s3.py::test_get_bucket_encryption_s3
+s3tests_boto3/functional/test_s3.py::test_get_bucket_encryption_kms
\ No newline at end of file
diff --git a/src/test/unit_tests/test_s3_encryption.js b/src/test/unit_tests/test_s3_encryption.js
index ea731e8be0..6882e8a87b 100644
--- a/src/test/unit_tests/test_s3_encryption.js
+++ b/src/test/unit_tests/test_s3_encryption.js
@@ -71,14 +71,22 @@ mocha.describe('Bucket Encryption Operations', async () => {
         await local_s3.createBucket({ Bucket: BKT });
     });
 
-    mocha.it('should get bucket encryption error without encryption configured', async () => {
+    mocha.it('getBucketEncryption should return the default server side encryption configuration', async () => {
         try {
             const res = await local_s3.getBucketEncryption({ Bucket: BKT });
-            throw new Error(`Expected to get error with unconfigured bucket encryption ${res}`);
+            const expected_response = {
+                ServerSideEncryptionConfiguration: {
+                    Rules: [{
+                        ApplyServerSideEncryptionByDefault: {
+                            SSEAlgorithm: 'AES256'
+                        }
+                    }]
+                }
+            };
+            const res_without_metadata = _.omit(res, '$metadata');
+            assert.deepEqual(res_without_metadata, expected_response);
         } catch (error) {
-            assert(error.message === 'The server side encryption configuration was not found.', `Error message does not match got: ${error.message}`);
-            assert(error.Code === 'ServerSideEncryptionConfigurationNotFoundError', `Error code does not match got: ${error.Code}`);
-            assert(error.$metadata.httpStatusCode === 404, `Error status code does not match got: ${error.$metadata.httpStatusCode}`);
+            throw new Error(`The server side encryption configuration was not found ${error.message}`);
         }
     });