diff --git a/package.json b/package.json
index 69a53d7d2..855723427 100644
--- a/package.json
+++ b/package.json
@@ -1,6 +1,6 @@
 {
     "name": "@databricks/databricks-vscode",
-    "version": "2.15.0",
+    "version": "2.16.0",
     "private": true,
     "workspaces": [
         "packages/*"
diff --git a/packages/databricks-vscode-types/CHANGELOG.md b/packages/databricks-vscode-types/CHANGELOG.md
index 8b87db716..b0e842498 100644
--- a/packages/databricks-vscode-types/CHANGELOG.md
+++ b/packages/databricks-vscode-types/CHANGELOG.md
@@ -1,3 +1,9 @@
+# Release: v2.16.0
+
+## packages/databricks-vscode-types
+
+## (2026-09-03)
+
 # Release: v2.15.0
 
 ## packages/databricks-vscode-types
diff --git a/packages/databricks-vscode-types/package.json b/packages/databricks-vscode-types/package.json
index 5e0641e26..3d24b748a 100644
--- a/packages/databricks-vscode-types/package.json
+++ b/packages/databricks-vscode-types/package.json
@@ -1,6 +1,6 @@
 {
     "name": "@databricks/databricks-vscode-types",
-    "version": "2.15.0",
+    "version": "2.16.0",
     "description": "Package with types and interfaces to develop extensions to the Databricks VSCode plugin",
     "main": "index.js",
     "types": "index.d.ts",
diff --git a/packages/databricks-vscode/CHANGELOG.md b/packages/databricks-vscode/CHANGELOG.md
index 11bff2186..eef729243 100644
--- a/packages/databricks-vscode/CHANGELOG.md
+++ b/packages/databricks-vscode/CHANGELOG.md
@@ -1,3 +1,15 @@
+# Release: v2.16.0
+
+## packages/databricks-vscode
+
+## (2026-09-03)
+
+-   Add a manual mode to opt out of automated Python environment (uv) setup (#2158) ([9ab3cab](https://github.com/databricks/databricks-vscode/commit/9ab3cab))
+-   Offer a one-click "Install uv" action when uv is missing (#2162) ([9f6f125](https://github.com/databricks/databricks-vscode/commit/9f6f125))
+-   Prompt re-login on setup-local session expiry instead of a hard error (#2163) ([3ebc920](https://github.com/databricks/databricks-vscode/commit/3ebc920))
+-   Normalize notebook cell source before wrapping jobs, fixing "Run as Databricks Job" when a cell's source is a JSON string (#2143) ([3b8a4dd](https://github.com/databricks/databricks-vscode/commit/3b8a4dd)) — reported in [#2142](https://github.com/databricks/databricks-vscode/issues/2142)
+-   Update Databricks CLI to v1.14.1 (#2160) ([e3ddf06](https://github.com/databricks/databricks-vscode/commit/e3ddf06)) — see the [CLI release notes](https://github.com/databricks/cli/releases) for changes
+
 # Release: v2.15.0
 
 ## packages/databricks-vscode
diff --git a/packages/databricks-vscode/package.json b/packages/databricks-vscode/package.json
index 5688029bb..f594e0406 100644
--- a/packages/databricks-vscode/package.json
+++ b/packages/databricks-vscode/package.json
@@ -4,7 +4,7 @@
     "description": "IDE support for Databricks",
     "publisher": "databricks",
     "license": "LicenseRef-LICENSE",
-    "version": "2.15.0",
+    "version": "2.16.0",
     "engines": {
         "vscode": "^1.86.0",
         "node": ">=22.0"