diff --git a/target/arm/ptw.c b/target/arm/ptw.c
index fbb0f8a0bf..07832eb8f7 100644
--- a/target/arm/ptw.c
+++ b/target/arm/ptw.c
@@ -2048,9 +2048,13 @@ static bool get_phys_addr_lpae(CPUARMState *env, S1Translate *ptw,
  do_translation_fault:
     fi->type = ARMFault_Translation;
  do_fault:
-    fi->level = level;
-    /* Tag the error as S2 for failed S1 PTW at S2 or ordinary S2.  */
-    fi->stage2 = fi->s1ptw || regime_is_stage2(mmu_idx);
+    if (fi->s1ptw) {
+        /* Retain the existing stage 2 fi->level */
+        assert(fi->stage2);
+    } else {
+        fi->level = level;
+        fi->stage2 = regime_is_stage2(mmu_idx);
+    }
     fi->s1ns = fault_s1ns(ptw->in_space, mmu_idx);
     return true;
 }