diff --git a/Code/Framework/AzToolsFramework/AzToolsFramework/ViewportSelection/EditorTransformComponentSelection.cpp b/Code/Framework/AzToolsFramework/AzToolsFramework/ViewportSelection/EditorTransformComponentSelection.cpp
index f43e8225a6..f54da3b089 100644
--- a/Code/Framework/AzToolsFramework/AzToolsFramework/ViewportSelection/EditorTransformComponentSelection.cpp
+++ b/Code/Framework/AzToolsFramework/AzToolsFramework/ViewportSelection/EditorTransformComponentSelection.cpp
@@ -21,6 +21,7 @@
 #include <AzToolsFramework/Commands/EntityManipulatorCommand.h>
 #include <AzToolsFramework/Commands/SelectionCommand.h>
 #include <AzToolsFramework/Entity/EditorEntityTransformBus.h>
+#include <AzToolsFramework/Entity/ReadOnly/ReadOnlyEntityInterface.h>
 #include <AzToolsFramework/Manipulators/ManipulatorManager.h>
 #include <AzToolsFramework/Manipulators/ManipulatorSnapping.h>
 #include <AzToolsFramework/Manipulators/RotationManipulators.h>
@@ -1019,6 +1020,7 @@ namespace AzToolsFramework
         EditorManipulatorCommandUndoRedoRequestBus::Handler::BusConnect(entityContextId);
         EditorContextMenuBus::Handler::BusConnect();
         ViewportInteraction::ViewportSettingsNotificationBus::Handler::BusConnect(ViewportUi::DefaultViewportId);
+        ReadOnlyEntityPublicNotificationBus::Handler::BusConnect(entityContextId);
 
         CreateTransformModeSelectionCluster();
         CreateSpaceSelectionCluster();
@@ -1054,6 +1056,7 @@ namespace AzToolsFramework
 
         m_pivotOverrideFrame.Reset();
 
+        ReadOnlyEntityPublicNotificationBus::Handler::BusDisconnect();
         ViewportInteraction::ViewportSettingsNotificationBus::Handler::BusDisconnect();
         EditorContextMenuBus::Handler::BusConnect();
         EditorManipulatorCommandUndoRedoRequestBus::Handler::BusDisconnect();
@@ -3623,6 +3626,18 @@ namespace AzToolsFramework
                 m_selectedEntityIds.erase(focusRoot);
             }
         }
+
+        // Do not create manipulators for any entities marked as read only
+        if (auto readOnlyEntityPublicInterface = AZ::Interface<ReadOnlyEntityPublicInterface>::Get())
+        {
+            AZStd::erase_if(
+                m_selectedEntityIds,
+                [readOnlyEntityPublicInterface](auto entityId)
+                {
+                    return readOnlyEntityPublicInterface->IsReadOnly(entityId);
+                }
+            );
+        }
     }
 
     void EditorTransformComponentSelection::OnTransformChanged(
@@ -3830,6 +3845,14 @@ namespace AzToolsFramework
         m_snappingCluster.TrySetVisible(m_viewportUiVisible && !m_selectedEntityIds.empty());
     }
 
+    void EditorTransformComponentSelection::OnReadOnlyEntityStatusChanged(const AZ::EntityId& entityId, [[maybe_unused]] bool readOnly)
+    {
+        if (IsEntitySelected(entityId))
+        {
+            RefreshSelectedEntityIdsAndRegenerateManipulators();
+        }
+    }
+
     namespace ETCS
     {
         // little raii wrapper to switch a value from true to false and back
diff --git a/Code/Framework/AzToolsFramework/AzToolsFramework/ViewportSelection/EditorTransformComponentSelection.h b/Code/Framework/AzToolsFramework/AzToolsFramework/ViewportSelection/EditorTransformComponentSelection.h
index afc290380b..7b3ba08894 100644
--- a/Code/Framework/AzToolsFramework/AzToolsFramework/ViewportSelection/EditorTransformComponentSelection.h
+++ b/Code/Framework/AzToolsFramework/AzToolsFramework/ViewportSelection/EditorTransformComponentSelection.h
@@ -20,6 +20,7 @@
 #include <AzToolsFramework/Commands/EntityManipulatorCommand.h>
 #include <AzToolsFramework/API/ViewportEditorModeTrackerNotificationBus.h>
 #include <AzToolsFramework/Editor/EditorContextMenuBus.h>
+#include <AzToolsFramework/Entity/ReadOnly/ReadOnlyEntityBus.h>
 #include <AzToolsFramework/Manipulators/BaseManipulator.h>
 #include <AzToolsFramework/ToolsComponents/EditorLockComponentBus.h>
 #include <AzToolsFramework/ToolsComponents/EditorVisibilityBus.h>
@@ -160,6 +161,7 @@ namespace AzToolsFramework
         , private EditorManipulatorCommandUndoRedoRequestBus::Handler
         , private AZ::TransformNotificationBus::MultiHandler
         , private ViewportInteraction::ViewportSettingsNotificationBus::Handler
+        , private ReadOnlyEntityPublicNotificationBus::Handler
     {
     public:
         AZ_CLASS_ALLOCATOR_DECL
@@ -297,6 +299,9 @@ namespace AzToolsFramework
         // ViewportSettingsNotificationBus overrides ...
         void OnGridSnappingChanged(bool enabled) override;
 
+        // ReadOnlyEntityPublicNotificationBus overrides ...
+        void OnReadOnlyEntityStatusChanged(const AZ::EntityId& entityId, bool readOnly) override;
+
         // Helpers to safely interact with the TransformBus (requests).
         void SetEntityWorldTranslation(AZ::EntityId entityId, const AZ::Vector3& worldTranslation);
         void SetEntityLocalTranslation(AZ::EntityId entityId, const AZ::Vector3& localTranslation);