diff --git a/src/video_core/texture_cache/image.cpp b/src/video_core/texture_cache/image.cpp
index 522e6fd5b..8522f1307 100644
--- a/src/video_core/texture_cache/image.cpp
+++ b/src/video_core/texture_cache/image.cpp
@@ -14,62 +14,6 @@ namespace VideoCore {
 
 using namespace Vulkan;
 
-bool ImageInfo::IsBlockCoded() const {
-    switch (pixel_format) {
-    case vk::Format::eBc1RgbaSrgbBlock:
-    case vk::Format::eBc1RgbaUnormBlock:
-    case vk::Format::eBc1RgbSrgbBlock:
-    case vk::Format::eBc1RgbUnormBlock:
-    case vk::Format::eBc2SrgbBlock:
-    case vk::Format::eBc2UnormBlock:
-    case vk::Format::eBc3SrgbBlock:
-    case vk::Format::eBc3UnormBlock:
-    case vk::Format::eBc4SnormBlock:
-    case vk::Format::eBc4UnormBlock:
-    case vk::Format::eBc5SnormBlock:
-    case vk::Format::eBc5UnormBlock:
-    case vk::Format::eBc6HSfloatBlock:
-    case vk::Format::eBc6HUfloatBlock:
-    case vk::Format::eBc7SrgbBlock:
-    case vk::Format::eBc7UnormBlock:
-        return true;
-    default:
-        return false;
-    }
-}
-
-bool ImageInfo::IsPacked() const {
-    switch (pixel_format) {
-    case vk::Format::eB5G5R5A1UnormPack16:
-        [[fallthrough]];
-    case vk::Format::eB5G6R5UnormPack16:
-        return true;
-    default:
-        return false;
-    }
-}
-
-bool ImageInfo::IsDepthStencil() const {
-    switch (pixel_format) {
-    case vk::Format::eD16Unorm:
-    case vk::Format::eD16UnormS8Uint:
-    case vk::Format::eD32Sfloat:
-    case vk::Format::eD32SfloatS8Uint:
-        return true;
-    default:
-        return false;
-    }
-}
-
-bool ImageInfo::HasStencil() const {
-    if (pixel_format == vk::Format::eD32SfloatS8Uint ||
-        pixel_format == vk::Format::eD24UnormS8Uint ||
-        pixel_format == vk::Format::eD16UnormS8Uint) {
-        return true;
-    }
-    return false;
-}
-
 static vk::ImageUsageFlags ImageUsageFlags(const ImageInfo& info) {
     vk::ImageUsageFlags usage = vk::ImageUsageFlagBits::eTransferSrc |
                                 vk::ImageUsageFlagBits::eTransferDst |
@@ -161,6 +105,9 @@ Image::Image(const Vulkan::Instance& instance_, Vulkan::Scheduler& scheduler_,
     if (info.props.is_volume) {
         flags |= vk::ImageCreateFlagBits::e2DArrayCompatible;
     }
+    if (info.props.is_block) {
+        flags |= vk::ImageCreateFlagBits::eBlockTexelViewCompatible;
+    }
 
     usage_flags = ImageUsageFlags(info);
     format_features = FormatFeatureFlags(usage_flags);
@@ -372,9 +319,9 @@ void Image::CopyImage(const Image& image) {
 
     boost::container::small_vector<vk::ImageCopy, 14> image_copy{};
     for (u32 m = 0; m < image.info.resources.levels; ++m) {
-        const auto mip_w = std::max(info.size.width >> m, 1u);
-        const auto mip_h = std::max(info.size.height >> m, 1u);
-        const auto mip_d = std::max(info.size.depth >> m, 1u);
+        const auto mip_w = std::max(image.info.size.width >> m, 1u);
+        const auto mip_h = std::max(image.info.size.height >> m, 1u);
+        const auto mip_d = std::max(image.info.size.depth >> m, 1u);
 
         image_copy.emplace_back(vk::ImageCopy{
             .srcSubresource{
diff --git a/src/video_core/texture_cache/image_info.cpp b/src/video_core/texture_cache/image_info.cpp
index 7fa65c6d7..769c4211f 100644
--- a/src/video_core/texture_cache/image_info.cpp
+++ b/src/video_core/texture_cache/image_info.cpp
@@ -152,6 +152,80 @@ ImageInfo::ImageInfo(const AmdGpu::Image& image, const Shader::ImageResource& de
     UpdateSize();
 }
 
+bool ImageInfo::IsBlockCoded() const {
+    switch (pixel_format) {
+    case vk::Format::eBc1RgbaSrgbBlock:
+    case vk::Format::eBc1RgbaUnormBlock:
+    case vk::Format::eBc1RgbSrgbBlock:
+    case vk::Format::eBc1RgbUnormBlock:
+    case vk::Format::eBc2SrgbBlock:
+    case vk::Format::eBc2UnormBlock:
+    case vk::Format::eBc3SrgbBlock:
+    case vk::Format::eBc3UnormBlock:
+    case vk::Format::eBc4SnormBlock:
+    case vk::Format::eBc4UnormBlock:
+    case vk::Format::eBc5SnormBlock:
+    case vk::Format::eBc5UnormBlock:
+    case vk::Format::eBc6HSfloatBlock:
+    case vk::Format::eBc6HUfloatBlock:
+    case vk::Format::eBc7SrgbBlock:
+    case vk::Format::eBc7UnormBlock:
+        return true;
+    default:
+        return false;
+    }
+}
+
+bool ImageInfo::IsPacked() const {
+    switch (pixel_format) {
+    case vk::Format::eB5G5R5A1UnormPack16:
+        [[fallthrough]];
+    case vk::Format::eB5G6R5UnormPack16:
+        return true;
+    default:
+        return false;
+    }
+}
+
+bool ImageInfo::IsDepthStencil() const {
+    switch (pixel_format) {
+    case vk::Format::eD16Unorm:
+    case vk::Format::eD16UnormS8Uint:
+    case vk::Format::eD32Sfloat:
+    case vk::Format::eD32SfloatS8Uint:
+        return true;
+    default:
+        return false;
+    }
+}
+
+bool ImageInfo::HasStencil() const {
+    if (pixel_format == vk::Format::eD32SfloatS8Uint ||
+        pixel_format == vk::Format::eD24UnormS8Uint ||
+        pixel_format == vk::Format::eD16UnormS8Uint) {
+        return true;
+    }
+    return false;
+}
+
+bool ImageInfo::IsCompatible(const ImageInfo& info) const {
+    return (pixel_format == info.pixel_format && num_samples == info.num_samples &&
+            num_bits == info.num_bits);
+}
+
+bool ImageInfo::IsTilingCompatible(u32 lhs, u32 rhs) const {
+    if (lhs == rhs) {
+        return true;
+    }
+    if (lhs == 0x0e && rhs == 0x0d) {
+        return true;
+    }
+    if (lhs == 0x0d && rhs == 0x0e) {
+        return true;
+    }
+    return false;
+}
+
 void ImageInfo::UpdateSize() {
     mips_layout.clear();
     MipInfo mip_info{};
diff --git a/src/video_core/texture_cache/image_info.h b/src/video_core/texture_cache/image_info.h
index ca4d9f5e9..47718a095 100644
--- a/src/video_core/texture_cache/image_info.h
+++ b/src/video_core/texture_cache/image_info.h
@@ -25,6 +25,11 @@ struct ImageInfo {
     bool IsTiled() const {
         return tiling_mode != AmdGpu::TilingMode::Display_Linear;
     }
+    Extent3D BlockDim() const {
+        const u32 shift = props.is_block ? 2 : 0;
+        return Extent3D{size.width >> shift, size.height >> shift, size.depth};
+    }
+
     bool IsBlockCoded() const;
     bool IsPacked() const;
     bool IsDepthStencil() const;
@@ -33,24 +38,8 @@ struct ImageInfo {
     s32 MipOf(const ImageInfo& info) const;
     s32 SliceOf(const ImageInfo& info, s32 mip) const;
 
-    /// Verifies if images are compatible for subresource merging.
-    bool IsCompatible(const ImageInfo& info) const {
-        return (pixel_format == info.pixel_format && num_samples == info.num_samples &&
-                num_bits == info.num_bits);
-    }
-
-    bool IsTilingCompatible(u32 lhs, u32 rhs) const {
-        if (lhs == rhs) {
-            return true;
-        }
-        if (lhs == 0x0e && rhs == 0x0d) {
-            return true;
-        }
-        if (lhs == 0x0d && rhs == 0x0e) {
-            return true;
-        }
-        return false;
-    }
+    bool IsCompatible(const ImageInfo& info) const;
+    bool IsTilingCompatible(u32 lhs, u32 rhs) const;
 
     void UpdateSize();
 
diff --git a/src/video_core/texture_cache/texture_cache.cpp b/src/video_core/texture_cache/texture_cache.cpp
index 25af3181b..ce06d219b 100644
--- a/src/video_core/texture_cache/texture_cache.cpp
+++ b/src/video_core/texture_cache/texture_cache.cpp
@@ -199,7 +199,8 @@ std::tuple<ImageId, int, int> TextureCache::ResolveOverlap(const ImageInfo& imag
         scheduler.CurrentTick() - tex_cache_image.tick_accessed_last > NumFramesBeforeRemoval;
 
     if (image_info.guest_address == tex_cache_image.info.guest_address) { // Equal address
-        if (image_info.size != tex_cache_image.info.size) {
+        if (image_info.BlockDim() != tex_cache_image.info.BlockDim() ||
+            image_info.num_bits != tex_cache_image.info.num_bits) {
             // Very likely this kind of overlap is caused by allocation from a pool.
             if (safe_to_delete) {
                 FreeImage(cache_image_id);
@@ -211,6 +212,12 @@ std::tuple<ImageId, int, int> TextureCache::ResolveOverlap(const ImageInfo& imag
             return {depth_image_id, -1, -1};
         }
 
+        if (image_info.IsBlockCoded() && !tex_cache_image.info.IsBlockCoded()) {
+            // Compressed view of uncompressed image with same block size.
+            // We need to recreate the image with compressed format and copy.
+            return {ExpandImage(image_info, cache_image_id), -1, -1};
+        }
+
         if (image_info.pixel_format != tex_cache_image.info.pixel_format ||
             image_info.guest_size <= tex_cache_image.info.guest_size) {
             auto result_id = merged_image_id ? merged_image_id : cache_image_id;