diff --git a/admin/tool/policy/classes/api.php b/admin/tool/policy/classes/api.php
index 9a7af22f1dd..887147b912a 100644
--- a/admin/tool/policy/classes/api.php
+++ b/admin/tool/policy/classes/api.php
@@ -1034,7 +1034,9 @@ class api {
             }
         }
 
-        if ($user->policyagreed != $allresponded) {
+        // MDL-80973: At this point, the policyagreed value in DB could be 0 but $user->policyagreed could be 1 (as it was copied from $USER).
+        // So we need to ensure that the value in DB is set true if all policies were responded.
+        if ($user->policyagreed != $allresponded || $allresponded) {
             $user->policyagreed = $allresponded;
             $DB->set_field('user', 'policyagreed', $allresponded, ['id' => $user->id]);
         }
diff --git a/admin/tool/policy/tests/api_test.php b/admin/tool/policy/tests/api_test.php
index 0b428fd3c2b..5177eb284a5 100644
--- a/admin/tool/policy/tests/api_test.php
+++ b/admin/tool/policy/tests/api_test.php
@@ -579,7 +579,7 @@ class api_test extends \advanced_testcase {
      * Test that accepting policy updates 'policyagreed'
      */
     public function test_accept_policies() {
-        global $DB;
+        global $DB, $USER;
         $this->resetAfterTest();
         $this->setAdminUser();
 
@@ -623,6 +623,12 @@ class api_test extends \advanced_testcase {
 
         api::accept_policies([$policy3->id]);
         $this->assertEquals(1, $DB->get_field('user', 'policyagreed', ['id' => $user2->id]));
+
+        // Ensure policies are always accepted when all are responded regardless the $USER->policyagreed value.
+        $USER->policyagreed = 1;
+        $DB->set_field('user', 'policyagreed', 0, ['id' => $user2->id]);
+        api::accept_policies([$policy3->id]);
+        $this->assertEquals(1, $DB->get_field('user', 'policyagreed', ['id' => $user2->id]));
     }
 
     /**