diff --git a/src/libs/ReportUtils.js b/src/libs/ReportUtils.js
index 45b9319a430..68a9714a80e 100644
--- a/src/libs/ReportUtils.js
+++ b/src/libs/ReportUtils.js
@@ -950,6 +950,77 @@ function buildOptimisticCreatedReportAction(ownerEmail) {
     };
 }
 
+/**
+ * Returns the necessary reportAction onyx data to indicate that a chat has been 
+ * @param {Number} sequenceNumber
+ * @param {String} ownerEmail
+ * @param {String} policyName
+ * @param {String} reason - Reason why the chat has been archived
+ * @returns {Object}
+ */
+function buildOptimisticClosedReportAction(sequenceNumber, ownerEmail, policyName, reason = CONST.REPORT.ARCHIVE_REASON.DEFAULT) {
+    return {
+        actionName: CONST.REPORT.ACTIONS.TYPE.CLOSED,
+        actorAccountID: currentUserAccountID,
+        automatic: false,
+        avatar: lodashGet(allPersonalDetails, [currentUserEmail, 'avatar'], getDefaultAvatar(currentUserEmail)),
+        clientID: NumberUtils.generateReportActionClientID(),
+        created: DateUtils.getDBTime(),
+        message: [
+            {
+                type: CONST.REPORT.MESSAGE.TYPE.TEXT,
+                style: 'strong',
+                text: ownerEmail === currentUserEmail ? 'You' : ownerEmail,
+            },
+            {
+                type: CONST.REPORT.MESSAGE.TYPE.TEXT,
+                style: 'normal',
+                text: ' closed this report',
+            },
+        ],
+        originalMessage: {
+            policyName,
+            reason,
+        },
+        pendingAction: CONST.RED_BRICK_ROAD_PENDING_ACTION.ADD,
+        person: [
+            {
+                type: CONST.REPORT.MESSAGE.TYPE.TEXT,
+                style: 'strong',
+                text: lodashGet(allPersonalDetails, [currentUserEmail, 'displayName'], currentUserEmail),
+            },
+        ],
+        reportActionID: NumberUtils.rand64(),
+        sequenceNumber,
+        shouldShow: true,
+    };
+}
+
+// actionName: "CLOSED"
+// actorAccountID: 32
+// actorEmail: "test3@test.com"
+// automatic: false
+// avatar: "https://d2g02b6ed2w9fz.cloudfront.net/dea8ae7de1308911b35e0b1189ca85d379dbdb83_128.jpeg"
+// clientID: ""
+// created: "2023-01-16 19:18:52.966"
+// message: Array(2)
+// 0: 
+// {type: 'TEXT', style: 'strong', text: 'You'}
+// 1: 
+// {type: 'TEXT', style: 'normal', text: ' closed this report'}
+
+// originalMessage: 
+// policyName: "Test's Workspace"
+// reason: "policyDeleted"
+// person: Array(1)
+// 0: {type: 'TEXT', style: 'strong', text: 'Test User'}
+// length: 1
+// reportActionID: "8939705822345818810"
+// reportActionTimestamp: 1673896732966
+// sequenceNumber: 1
+// shouldShow: true
+// timestamp: 1673896732
+
 /**
  * @param {String} policyID
  * @param {String} policyName
@@ -1250,6 +1321,7 @@ export {
     isUnread,
     buildOptimisticWorkspaceChats,
     buildOptimisticChatReport,
+    buildOptimisticClosedReportAction,
     buildOptimisticCreatedReportAction,
     buildOptimisticIOUReport,
     buildOptimisticIOUReportAction,
diff --git a/src/libs/actions/Policy.js b/src/libs/actions/Policy.js
index 5a2de0e7e1f..f6081486cda 100644
--- a/src/libs/actions/Policy.js
+++ b/src/libs/actions/Policy.js
@@ -13,6 +13,7 @@ import ROUTES from '../../ROUTES';
 import * as OptionsListUtils from '../OptionsListUtils';
 import DateUtils from '../DateUtils';
 import * as ReportUtils from '../ReportUtils';
+import {getMaxSequenceNumber} from './Report';
 import Log from '../Log';
 
 const allPolicies = {};
@@ -59,8 +60,9 @@ function updateLastAccessedWorkspace(policyID) {
  *
  * @param {String} policyID
  * @param {Array<Object>} reports
+ * @param {String} policyName
  */
-function deleteWorkspace(policyID, reports) {
+function deleteWorkspace(policyID, reports, policyName) {
     const optimisticData = [
         {
             onyxMethod: CONST.ONYX.METHOD.MERGE,
@@ -80,6 +82,22 @@ function deleteWorkspace(policyID, reports) {
                 oldPolicyName: allPolicies[`${ONYXKEYS.COLLECTION.POLICY}${policyID}`].name,
             },
         })),
+        ..._.map(reports, ({reportID, ownerEmail}) => {
+            const highestSequenceNumber = getMaxSequenceNumber(reportID);
+            const optimisticClosedReportAction = ReportUtils.buildOptimisticClosedReportAction(
+                highestSequenceNumber + 1,
+                ownerEmail,
+                policyName,
+                CONST.REPORT.ARCHIVE_REASON.POLICY_DELETED
+            );
+            const optimisticReportActions = {};
+            optimisticReportActions[optimisticClosedReportAction.clientID] = optimisticClosedReportAction;
+            return {
+                onyxMethod: CONST.ONYX.METHOD.MERGE,
+                key: `${ONYXKEYS.COLLECTION.REPORT_ACTIONS}${reportID}`,
+                value: optimisticReportActions,
+            }
+        }),
     ];
 
     // Restore the old report stateNum and statusNum
diff --git a/src/pages/workspace/WorkspaceInitialPage.js b/src/pages/workspace/WorkspaceInitialPage.js
index 9ee7b141c5b..74d3706e31e 100644
--- a/src/pages/workspace/WorkspaceInitialPage.js
+++ b/src/pages/workspace/WorkspaceInitialPage.js
@@ -77,7 +77,7 @@ class WorkspaceInitialPage extends React.Component {
      */
     confirmDeleteAndHideModal() {
         const policyReports = _.filter(this.props.reports, report => report && report.policyID === this.props.policy.id);
-        Policy.deleteWorkspace(this.props.policy.id, policyReports);
+        Policy.deleteWorkspace(this.props.policy.id, policyReports, this.props.policy.name);
         this.toggleDeleteModal(false);
         Navigation.navigate(ROUTES.SETTINGS_WORKSPACES);
     }