diff --git a/CHANGELOG.md b/CHANGELOG.md
index 57c53713..6a4eb769 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -2,6 +2,10 @@
 
 ## [Unreleased]
 
+### Fixed
+
+- Changing base URI when `$ref` is present in drafts 7 and earlier.
+
 ## [0.18.2] - 2024-09-11
 
 ### Fixed
diff --git a/bindings/python/CHANGELOG.md b/bindings/python/CHANGELOG.md
index db71c2bd..e6a5b87e 100644
--- a/bindings/python/CHANGELOG.md
+++ b/bindings/python/CHANGELOG.md
@@ -2,6 +2,10 @@
 
 ## [Unreleased]
 
+### Fixed
+
+- Changing base URI when `$ref` is present in drafts 7 and earlier.
+
 ## [0.18.2] - 2024-09-11
 
 ### Fixed
diff --git a/jsonschema/src/compilation/context.rs b/jsonschema/src/compilation/context.rs
index 55729fa1..988d1b31 100644
--- a/jsonschema/src/compilation/context.rs
+++ b/jsonschema/src/compilation/context.rs
@@ -3,7 +3,7 @@ use crate::{
     compilation::DEFAULT_SCOPE,
     paths::{JSONPointer, JsonPointerNode, PathChunkRef},
     resolver::Resolver,
-    schemas,
+    schemas, Draft,
 };
 use serde_json::Value;
 use std::{borrow::Cow, sync::Arc};
@@ -101,12 +101,26 @@ impl<'a> CompilationContext<'a> {
     #[inline]
     pub(crate) fn push(&'a self, schema: &Value) -> Result<Self, ParseError> {
         if let Some(id) = schemas::id_of(self.config.draft(), schema) {
-            Ok(CompilationContext {
-                base_uri: self.base_uri.with_new_scope(id)?,
-                config: Arc::clone(&self.config),
-                resolver: Arc::clone(&self.resolver),
-                schema_path: self.schema_path.clone(),
-            })
+            if matches!(
+                self.config.draft(),
+                Draft::Draft4 | Draft::Draft6 | Draft::Draft7
+            ) && schema.get("$ref").is_some()
+            {
+                // If `$ref` is present, then other keywords are ignored in Drafts 7 and earlier
+                Ok(CompilationContext {
+                    base_uri: self.base_uri.clone(),
+                    config: Arc::clone(&self.config),
+                    resolver: Arc::clone(&self.resolver),
+                    schema_path: self.schema_path.clone(),
+                })
+            } else {
+                Ok(CompilationContext {
+                    base_uri: self.base_uri.with_new_scope(id)?,
+                    config: Arc::clone(&self.config),
+                    resolver: Arc::clone(&self.resolver),
+                    schema_path: self.schema_path.clone(),
+                })
+            }
         } else {
             Ok(CompilationContext {
                 base_uri: self.base_uri.clone(),
diff --git a/jsonschema/src/keywords/ref_.rs b/jsonschema/src/keywords/ref_.rs
index bfb59b9e..e2e1afcf 100644
--- a/jsonschema/src/keywords/ref_.rs
+++ b/jsonschema/src/keywords/ref_.rs
@@ -56,6 +56,7 @@ impl Validate for RefValidator {
         if let Some(sub_nodes) = self.sub_nodes.read().as_ref() {
             return sub_nodes.is_valid(instance);
         }
+        dbg!(777);
         if let Ok((scope, resolved)) = self.resolver.resolve_fragment(
             self.config.draft(),
             &self.reference,
@@ -157,7 +158,7 @@ pub(crate) const fn supports_adjacent_validation(draft: Draft) -> bool {
 
 #[cfg(test)]
 mod tests {
-    use crate::{tests_util, JSONSchema};
+    use crate::{tests_util, Draft, JSONSchema};
     use serde_json::{json, Value};
     use test_case::test_case;
 
@@ -227,6 +228,37 @@ mod tests {
         tests_util::is_valid(schema, instance);
     }
 
+    #[test]
+    fn test_ref_prevents_sibling_id_from_changing_the_base_uri() {
+        let schema = json!({
+            "id": "http://localhost:1234/sibling_id/base/",
+            "definitions": {
+                "foo": {
+                    "id": "http://localhost:1234/sibling_id/foo.json",
+                    "type": "string"
+                },
+                "base_foo": {
+                    "$comment": "this canonical uri is http://localhost:1234/sibling_id/base/foo.json",
+                    "id": "foo.json",
+                    "type": "number"
+                }
+            },
+            "allOf": [
+                {
+                    "$comment": "$ref resolves to http://localhost:1234/sibling_id/base/foo.json, not http://localhost:1234/sibling_id/foo.json",
+                    "id": "http://localhost:1234/sibling_id/",
+                    "$ref": "foo.json"
+                }
+            ]
+        });
+        let instance = json!("a");
+        let compiled = JSONSchema::options()
+            .with_draft(Draft::Draft4)
+            .compile(&schema)
+            .expect("Invalid schema");
+        tests_util::is_not_valid_with(&compiled, &instance);
+    }
+
     #[test_case(
         &json!({
             "properties": {
diff --git a/jsonschema/src/lib.rs b/jsonschema/src/lib.rs
index 4b4045b2..284e210c 100644
--- a/jsonschema/src/lib.rs
+++ b/jsonschema/src/lib.rs
@@ -133,7 +133,7 @@ pub(crate) mod tests_util {
     use crate::ValidationError;
     use serde_json::Value;
 
-    fn is_not_valid_inner(compiled: &JSONSchema, instance: &Value) {
+    pub(crate) fn is_not_valid_with(compiled: &JSONSchema, instance: &Value) {
         assert!(
             !compiled.is_valid(instance),
             "{} should not be valid (via is_valid)",
@@ -153,7 +153,7 @@ pub(crate) mod tests_util {
 
     pub(crate) fn is_not_valid(schema: &Value, instance: &Value) {
         let compiled = JSONSchema::compile(schema).unwrap();
-        is_not_valid_inner(&compiled, instance)
+        is_not_valid_with(&compiled, instance)
     }
 
     #[cfg(any(feature = "draft201909", feature = "draft202012"))]
@@ -162,7 +162,7 @@ pub(crate) mod tests_util {
             .with_draft(draft)
             .compile(schema)
             .unwrap();
-        is_not_valid_inner(&compiled, instance)
+        is_not_valid_with(&compiled, instance)
     }
 
     pub(crate) fn expect_errors(schema: &Value, instance: &Value, errors: &[&str]) {
@@ -177,7 +177,7 @@ pub(crate) mod tests_util {
         )
     }
 
-    fn is_valid_inner(compiled: &JSONSchema, instance: &Value) {
+    pub(crate) fn is_valid_with(compiled: &JSONSchema, instance: &Value) {
         if let Err(mut errors) = compiled.validate(instance) {
             let first = errors.next().expect("Errors iterator is empty");
             panic!(
@@ -199,7 +199,7 @@ pub(crate) mod tests_util {
 
     pub(crate) fn is_valid(schema: &Value, instance: &Value) {
         let compiled = JSONSchema::compile(schema).unwrap();
-        is_valid_inner(&compiled, instance);
+        is_valid_with(&compiled, instance);
     }
 
     #[cfg(any(feature = "draft201909", feature = "draft202012"))]
@@ -208,7 +208,7 @@ pub(crate) mod tests_util {
             .with_draft(draft)
             .compile(schema)
             .unwrap();
-        is_valid_inner(&compiled, instance)
+        is_valid_with(&compiled, instance)
     }
 
     pub(crate) fn validate(schema: &Value, instance: &Value) -> ValidationError<'static> {