diff --git a/src/libs/ReportUtils.ts b/src/libs/ReportUtils.ts
index 142b319240f1..80a773e344db 100644
--- a/src/libs/ReportUtils.ts
+++ b/src/libs/ReportUtils.ts
@@ -1887,14 +1887,29 @@ function getIconsForParticipants(participants: number[], personalDetails: OnyxIn
     return avatars;
 }
 
+/**
+ * Cache the workspace icons
+ */
+const workSpaceIconsCache = new Map<string, {name: string; icon: Icon}>();
+
 /**
  * Given a report, return the associated workspace icon.
  */
 function getWorkspaceIcon(report: OnyxInputOrEntry<Report>, policy?: OnyxInputOrEntry<Policy>): Icon {
     const workspaceName = getPolicyName(report, false, policy);
-    const policyExpenseChatAvatarSource = allPolicies?.[`${ONYXKEYS.COLLECTION.POLICY}${report?.policyID}`]?.avatarURL
-        ? allPolicies?.[`${ONYXKEYS.COLLECTION.POLICY}${report?.policyID}`]?.avatarURL
-        : getDefaultWorkspaceAvatar(workspaceName);
+    const cacheKey = report?.policyID ?? workspaceName;
+    const iconFromCache = workSpaceIconsCache.get(cacheKey);
+    const avatarURL = allPolicies?.[`${ONYXKEYS.COLLECTION.POLICY}${report?.policyID}`]?.avatarURL;
+
+    const isSameAvatarURL = iconFromCache?.icon?.source === avatarURL;
+    const isDefaultWorkspaceAvatar = !avatarURL && typeof iconFromCache?.icon?.source !== 'string';
+    const hasWorkSpaceNameChanged = iconFromCache?.name !== workspaceName;
+    if (iconFromCache && (isSameAvatarURL || isDefaultWorkspaceAvatar) && !hasWorkSpaceNameChanged) {
+        return iconFromCache.icon;
+    }
+    // `avatarURL` can be an empty string, so we have to use || operator here
+    // eslint-disable-next-line @typescript-eslint/prefer-nullish-coalescing
+    const policyExpenseChatAvatarSource = avatarURL || getDefaultWorkspaceAvatar(workspaceName);
 
     const workspaceIcon: Icon = {
         source: policyExpenseChatAvatarSource ?? '',
@@ -1902,6 +1917,7 @@ function getWorkspaceIcon(report: OnyxInputOrEntry<Report>, policy?: OnyxInputOr
         name: workspaceName,
         id: report?.policyID,
     };
+    workSpaceIconsCache.set(cacheKey, {name: workspaceName, icon: workspaceIcon});
     return workspaceIcon;
 }