diff --git a/cmd/root.go b/cmd/root.go
index c64c6124..7d7db1c8 100644
--- a/cmd/root.go
+++ b/cmd/root.go
@@ -17,6 +17,7 @@
 package cmd
 
 import (
+	"errors"
 	"fmt"
 	"os"
 
@@ -114,7 +115,10 @@ func initConfig() {
 
 	// If a config file is found, read it in.
 	if err := viper.ReadInConfig(); err != nil {
-		fmt.Println(err.Error())
+		var e viper.ConfigFileNotFoundError
+		if !errors.As(err, &e) {
+			fmt.Println(err.Error())
+		}
 	}
 
 }
diff --git a/internal/core/manifest.go b/internal/core/manifest.go
index 5544b09b..82dd79b7 100644
--- a/internal/core/manifest.go
+++ b/internal/core/manifest.go
@@ -20,6 +20,7 @@ import (
 	"encoding/json"
 	"fmt"
 	"os"
+	"strings"
 
 	"github.com/hyperledger/firefly-cli/internal/constants"
 	"github.com/hyperledger/firefly-cli/internal/docker"
@@ -123,3 +124,20 @@ func ReadManifestFile(p string) (*types.VersionManifest, error) {
 	}
 	return manifest, err
 }
+
+func ValidateVersionUpgrade(oldVersion, newVersion string) error {
+	oldSemVer := strings.Split(strings.Trim(oldVersion, "v"), ".")
+	newSemVer := strings.Split(strings.Trim(newVersion, "v"), ".")
+	if len(oldSemVer) < 3 || len(newSemVer) < 3 {
+		return fmt.Errorf("FireFly CLI only supports updating local development environments between patch versions")
+	}
+	// Only upgrading between patch versions is supported
+	// e.g. 1.3.0 -> 1.3.1
+	if oldSemVer[0] == newSemVer[0] && oldSemVer[1] == newSemVer[1] {
+		if oldSemVer[2] > newSemVer[2] {
+			return fmt.Errorf("FireFly CLI does not support downgrading local development environments")
+		}
+		return nil
+	}
+	return fmt.Errorf("FireFly CLI only supports updating local development environments between patch versions")
+}
diff --git a/internal/core/manifest_test.go b/internal/core/manifest_test.go
index 75bf6971..63a4da19 100644
--- a/internal/core/manifest_test.go
+++ b/internal/core/manifest_test.go
@@ -45,3 +45,14 @@ func TestGetLatestReleaseManifest(t *testing.T) {
 	assert.NotNil(t, manifest.TokensERC1155)
 	assert.NotNil(t, manifest.TokensERC20ERC721)
 }
+
+func TestIsSupportedVersionUpgrade(t *testing.T) {
+	assert.NoError(t, ValidateVersionUpgrade("v1.2.1", "v1.2.2"))
+	assert.NoError(t, ValidateVersionUpgrade("v1.2.0", "v1.2.2"))
+	assert.NoError(t, ValidateVersionUpgrade("1.2.1", "v1.2.2"))
+	assert.NoError(t, ValidateVersionUpgrade("v1.2.1", "1.2.2"))
+
+	assert.Error(t, ValidateVersionUpgrade("v1.2.2", "v1.3.0"))
+	assert.Error(t, ValidateVersionUpgrade("latest", "v1.3.0"))
+	assert.Error(t, ValidateVersionUpgrade("v1.2.2", "latest"))
+}
diff --git a/internal/stacks/stack_manager.go b/internal/stacks/stack_manager.go
index 1610ff52..6c1c101c 100644
--- a/internal/stacks/stack_manager.go
+++ b/internal/stacks/stack_manager.go
@@ -1049,6 +1049,14 @@ func (s *StackManager) UpgradeStack(version string) error {
 		return err
 	}
 	oldManifest := s.Stack.VersionManifest
+	oldVersion, err := docker.GetImageLabel(fmt.Sprintf("%s@sha256:%s", oldManifest.FireFly.Image, oldManifest.FireFly.SHA), "tag")
+	if err != nil {
+		return err
+	}
+
+	if err := core.ValidateVersionUpgrade(oldVersion, version); err != nil {
+		return err
+	}
 
 	// get the version manifest for the new version
 	newManifest, err := core.GetManifestForRelease(version)
@@ -1091,9 +1099,12 @@ func replaceVersions(oldManifest, newManifest *types.VersionManifest, filename s
 	new = newManifest.Evmconnect.GetDockerImageString()
 	s = strings.ReplaceAll(s, old, new)
 
-	old = oldManifest.Tezosconnect.GetDockerImageString()
-	new = newManifest.Tezosconnect.GetDockerImageString()
-	s = strings.ReplaceAll(s, old, new)
+	// v1.2.x stacks may not have had a tezosconnect entry because it's new
+	if oldManifest.Tezosconnect != nil {
+		old = oldManifest.Tezosconnect.GetDockerImageString()
+		new = newManifest.Tezosconnect.GetDockerImageString()
+		s = strings.ReplaceAll(s, old, new)
+	}
 
 	old = oldManifest.Fabconnect.GetDockerImageString()
 	new = newManifest.Fabconnect.GetDockerImageString()