diff --git a/CHANGELOG.md b/CHANGELOG.md
index 672c2ef016..a68d7bc40b 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -20,6 +20,10 @@ sentry-sdk==0.10.1
 
 A major release `N` implies the previous release `N-1` will no longer receive updates. We generally do not backport bugfixes to older versions unless they are security relevant. However, feel free to ask for backports of specific commits on the bugtracker.
 
+## Unreleased
+
+- No longer set the last event id for transactions #1186
+
 ## 1.3.1
 
 - Fix detection of contextvars compatibility with Gevent versions >=20.9.0 #1157
diff --git a/sentry_sdk/hub.py b/sentry_sdk/hub.py
index 1bffd1a0db..1976aaba34 100644
--- a/sentry_sdk/hub.py
+++ b/sentry_sdk/hub.py
@@ -318,8 +318,9 @@ def capture_event(
         client, top_scope = self._stack[-1]
         scope = _update_scope(top_scope, scope, scope_args)
         if client is not None:
+            is_transaction = event.get("type") == "transaction"
             rv = client.capture_event(event, hint, scope)
-            if rv is not None:
+            if rv is not None and not is_transaction:
                 self._last_event_id = rv
             return rv
         return None
diff --git a/tests/test_basics.py b/tests/test_basics.py
index 128b85d7a4..3972c2ae2d 100644
--- a/tests/test_basics.py
+++ b/tests/test_basics.py
@@ -71,6 +71,11 @@ def test_event_id(sentry_init, capture_events):
     assert last_event_id() == event_id
     assert Hub.current.last_event_id() == event_id
 
+    new_event_id = Hub.current.capture_event({"type": "transaction"})
+    assert new_event_id is not None
+    assert new_event_id != event_id
+    assert Hub.current.last_event_id() == event_id
+
 
 def test_option_callback(sentry_init, capture_events):
     drop_events = False