diff --git a/Gems/Multiplayer/Code/Include/Multiplayer/IMultiplayer.h b/Gems/Multiplayer/Code/Include/Multiplayer/IMultiplayer.h
index 182173c464..35af0034e5 100644
--- a/Gems/Multiplayer/Code/Include/Multiplayer/IMultiplayer.h
+++ b/Gems/Multiplayer/Code/Include/Multiplayer/IMultiplayer.h
@@ -121,6 +121,8 @@ namespace Multiplayer
         //! @return the current server time in milliseconds
         virtual AZ::TimeMs GetCurrentHostTimeMs() const = 0;
 
+        virtual float GetCurrentBlendFactor() const = 0;
+
         //! Returns the network time instance bound to this multiplayer instance.
         //! @return pointer to the network time instance bound to this multiplayer instance
         virtual INetworkTime* GetNetworkTime() = 0;
diff --git a/Gems/Multiplayer/Code/Include/Multiplayer/NetworkInput/NetworkInput.h b/Gems/Multiplayer/Code/Include/Multiplayer/NetworkInput/NetworkInput.h
index 5d57ea6343..874ccad789 100644
--- a/Gems/Multiplayer/Code/Include/Multiplayer/NetworkInput/NetworkInput.h
+++ b/Gems/Multiplayer/Code/Include/Multiplayer/NetworkInput/NetworkInput.h
@@ -44,6 +44,9 @@ namespace Multiplayer
         AZ::TimeMs GetHostTimeMs() const;
         AZ::TimeMs& ModifyHostTimeMs();
 
+        void SetHostBlendFactor(float hostBlendFactor);
+        float GetHostBlendFactor() const;
+
         void AttachNetBindComponent(NetBindComponent* netBindComponent);
 
         bool Serialize(AzNetworking::ISerializer& serializer);
@@ -72,6 +75,7 @@ namespace Multiplayer
         ClientInputId m_inputId = ClientInputId{ 0 };
         HostFrameId m_hostFrameId = InvalidHostFrameId;
         AZ::TimeMs m_hostTimeMs = AZ::TimeMs{ 0 };
+        float m_hostBlendFactor = 0.f;
         ConstNetworkEntityHandle m_owner;
         bool m_wasAttached = false;
     };
diff --git a/Gems/Multiplayer/Code/Source/Components/LocalPredictionPlayerInputComponent.cpp b/Gems/Multiplayer/Code/Source/Components/LocalPredictionPlayerInputComponent.cpp
index 0b4fa99111..da299401d8 100644
--- a/Gems/Multiplayer/Code/Source/Components/LocalPredictionPlayerInputComponent.cpp
+++ b/Gems/Multiplayer/Code/Source/Components/LocalPredictionPlayerInputComponent.cpp
@@ -154,9 +154,12 @@ namespace Multiplayer
             // Discard move input events, client may be speed hacking
             if (m_clientBankedTime < sv_MaxBankTimeWindowSec)
             {
+                // Client blends from previous frame to target so here we subtract blend factor to get to that state
+                const float adjustedBlendFactor = std::pow(0.2f, input.GetHostBlendFactor());
+                const AZ::TimeMs blendMs = AZ::TimeMs(static_cast<float>(static_cast<AZ::TimeMs>(cl_InputRateMs)) * adjustedBlendFactor);
                 m_clientBankedTime = AZStd::min(m_clientBankedTime + clientInputRateSec, (double)sv_MaxBankTimeWindowSec); // clamp to boundary
                 {
-                    ScopedAlterTime scopedTime(input.GetHostFrameId(), input.GetHostTimeMs(), invokingConnection->GetConnectionId());
+                    ScopedAlterTime scopedTime(input.GetHostFrameId(), input.GetHostTimeMs() - blendMs, invokingConnection->GetConnectionId());
                     GetNetBindComponent()->ProcessInput(input, static_cast<float>(clientInputRateSec));
                 }
 
@@ -498,6 +501,7 @@ namespace Multiplayer
             input.SetClientInputId(m_clientInputId);
             input.SetHostFrameId(networkTime->GetHostFrameId());
             input.SetHostTimeMs(multiplayer->GetCurrentHostTimeMs());
+            input.SetHostBlendFactor(multiplayer->GetCurrentBlendFactor());
 
             // Allow components to form the input for this frame
             GetNetBindComponent()->CreateInput(input, inputRate);
diff --git a/Gems/Multiplayer/Code/Source/MultiplayerSystemComponent.cpp b/Gems/Multiplayer/Code/Source/MultiplayerSystemComponent.cpp
index 0100cfe3d2..16acf45872 100644
--- a/Gems/Multiplayer/Code/Source/MultiplayerSystemComponent.cpp
+++ b/Gems/Multiplayer/Code/Source/MultiplayerSystemComponent.cpp
@@ -802,6 +802,11 @@ namespace Multiplayer
         }
     }
 
+    float MultiplayerSystemComponent::GetCurrentBlendFactor() const
+    {
+        return m_renderBlendFactor;
+    }
+
     INetworkTime* MultiplayerSystemComponent::GetNetworkTime()
     {
         return &m_networkTime;
diff --git a/Gems/Multiplayer/Code/Source/MultiplayerSystemComponent.h b/Gems/Multiplayer/Code/Source/MultiplayerSystemComponent.h
index 7977a39443..5aaa52a7bd 100644
--- a/Gems/Multiplayer/Code/Source/MultiplayerSystemComponent.h
+++ b/Gems/Multiplayer/Code/Source/MultiplayerSystemComponent.h
@@ -112,6 +112,7 @@ namespace Multiplayer
         void Terminate(AzNetworking::DisconnectReason reason) override;
         void SendReadyForEntityUpdates(bool readyForEntityUpdates) override;
         AZ::TimeMs GetCurrentHostTimeMs() const override;
+        float GetCurrentBlendFactor() const override;
         INetworkTime* GetNetworkTime() override;
         INetworkEntityManager* GetNetworkEntityManager() override;
         void SetFilterEntityManager(IFilterEntityManager* entityFilter) override;
diff --git a/Gems/Multiplayer/Code/Source/NetworkInput/NetworkInput.cpp b/Gems/Multiplayer/Code/Source/NetworkInput/NetworkInput.cpp
index 75889d9f83..33b5a535e0 100644
--- a/Gems/Multiplayer/Code/Source/NetworkInput/NetworkInput.cpp
+++ b/Gems/Multiplayer/Code/Source/NetworkInput/NetworkInput.cpp
@@ -75,6 +75,16 @@ namespace Multiplayer
         return m_hostTimeMs;
     }
 
+    void NetworkInput::SetHostBlendFactor(float hostBlendFactor)
+    {
+        m_hostBlendFactor = hostBlendFactor;
+    }
+
+    float NetworkInput::GetHostBlendFactor() const
+    {
+        return m_hostBlendFactor;
+    }
+
     void NetworkInput::AttachNetBindComponent(NetBindComponent* netBindComponent)
     {
         m_wasAttached = true;
@@ -90,7 +100,8 @@ namespace Multiplayer
     {
         if (!serializer.Serialize(m_inputId, "InputId")
          || !serializer.Serialize(m_hostTimeMs, "HostTimeMs")
-         || !serializer.Serialize(m_hostFrameId, "HostFrameId"))
+         || !serializer.Serialize(m_hostFrameId, "HostFrameId")
+         || !serializer.Serialize(m_hostBlendFactor, "HostBlendFactor"))
         {
             return false;
         }
@@ -163,6 +174,7 @@ namespace Multiplayer
         m_inputId = rhs.m_inputId;
         m_hostFrameId = rhs.m_hostFrameId;
         m_hostTimeMs = rhs.m_hostTimeMs;
+        m_hostBlendFactor = rhs.m_hostBlendFactor;
         m_componentInputs.resize(rhs.m_componentInputs.size());
         for (int32_t i = 0; i < rhs.m_componentInputs.size(); ++i)
         {