diff --git a/moto/s3/responses.py b/moto/s3/responses.py
index b0a9ddbea2d..64fc2e1812d 100644
--- a/moto/s3/responses.py
+++ b/moto/s3/responses.py
@@ -3,6 +3,8 @@
 import re
 from typing import List, Union
 
+import urllib.parse
+
 from moto import settings
 from moto.core.utils import (
     amzn_request_id,
@@ -633,6 +635,12 @@ def _handle_list_objects_v2(self, bucket_name, querystring):
 
         key_count = len(result_keys) + len(result_folders)
 
+        if encoding_type == "url":
+            prefix = urllib.parse.quote(prefix) if prefix else ""
+            result_folders = list(
+                map(lambda folder: urllib.parse.quote(folder), result_folders)
+            )
+
         return template.render(
             bucket=bucket,
             prefix=prefix or "",
diff --git a/tests/test_s3/test_s3.py b/tests/test_s3/test_s3.py
index 6ba2e8533e2..4d3d63916a9 100644
--- a/tests/test_s3/test_s3.py
+++ b/tests/test_s3/test_s3.py
@@ -3364,3 +3364,26 @@ def test_head_versioned_key_in_not_versioned_bucket():
 
     response = ex.value.response
     assert response["Error"]["Code"] == "400"
+
+
+@mock_s3
+def test_prefix_encoding():
+    bucket_name = "encoding-bucket"
+    client = boto3.client("s3", region_name=DEFAULT_REGION_NAME)
+    client.create_bucket(Bucket=bucket_name)
+
+    client.put_object(Bucket=bucket_name, Key="foo%2Fbar/data", Body=b"")
+
+    data = client.list_objects_v2(Bucket=bucket_name, Prefix="foo%2Fbar")
+    assert data["Contents"][0]["Key"].startswith(data["Prefix"])
+
+    data = client.list_objects_v2(Bucket=bucket_name, Prefix="foo%2Fbar", Delimiter="/")
+    assert data["CommonPrefixes"] == [{"Prefix": "foo%2Fbar/"}]
+
+    client.put_object(Bucket=bucket_name, Key="foo/bar/data", Body=b"")
+
+    data = client.list_objects_v2(Bucket=bucket_name, Delimiter="/")
+    folders = list(
+        map(lambda common_prefix: common_prefix["Prefix"], data["CommonPrefixes"])
+    )
+    assert ["foo%2Fbar/", "foo/"] == folders