diff --git a/changelog.d/update-policyengine-constraint.changed.md b/changelog.d/update-policyengine-constraint.changed.md
new file mode 100644
index 000000000..a935613cb
--- /dev/null
+++ b/changelog.d/update-policyengine-constraint.changed.md
@@ -0,0 +1 @@
+Bumped the `policyengine` dependency constraint to require at least 0.12.0 and stay below 1.0.
diff --git a/pyproject.toml b/pyproject.toml
index 88b87a69b..7427d5f75 100644
--- a/pyproject.toml
+++ b/pyproject.toml
@@ -41,7 +41,7 @@ dependencies = [
     "policyengine_uk==2.39.0",
     "policyengine_us==1.632.5",
     "policyengine_core>=3.16.6",
-    "policyengine>=0.7.0",
+    "policyengine>=0.12.0,<1",
     "pydantic",
     "pymysql",
     "python-dotenv",