diff --git a/gnu/home/services/shells.scm b/gnu/home/services/shells.scm
index d7dd579293..3326eb37f4 100644
--- a/gnu/home/services/shells.scm
+++ b/gnu/home/services/shells.scm
@@ -407,6 +407,15 @@ (define* (file-if-not-empty field #:optional (extra-content #f))
 # Honor per-interactive-shell startup file
 if [ -f ~/.bashrc ]; then source ~/.bashrc; fi
 "
+
+        ;; The host distro might provide a bad 'PS1' default--e.g., not taking
+        ;; $GUIX_ENVIRONMENT into account.  Provide a good default here when
+        ;; asked to.  The default can be overridden below via
+        ;; 'environment-variables'.
+        (if (home-bash-configuration-guix-defaults? config)
+            "PS1='\\u@\\h \\w${GUIX_ENVIRONMENT:+ [env]}\\$ '\n"
+            "")
+
         (serialize-field 'bash-profile)
         (serialize-field 'environment-variables)))
 
diff --git a/gnu/system.scm b/gnu/system.scm
index 62c8e0c2b6..d67f9a615b 100644
--- a/gnu/system.scm
+++ b/gnu/system.scm
@@ -1047,6 +1047,9 @@ (define* (operating-system-etc-service os)
         (bashrc    (plain-file "bashrc" "\
 # Bash-specific initialization.
 
+# Provide a default prompt.  The user's ~/.bashrc can override it.
+PS1='\\u@\\h \\w${GUIX_ENVIRONMENT:+ [env]}\\$ '
+
 # The 'bash-completion' package.
 if [ -f /run/current-system/profile/etc/profile.d/bash_completion.sh ]
 then
diff --git a/gnu/system/shadow.scm b/gnu/system/shadow.scm
index 4360a5ebd1..2e87928368 100644
--- a/gnu/system/shadow.scm
+++ b/gnu/system/shadow.scm
@@ -142,13 +142,6 @@ (define %default-bashrc
 # Source the system-wide file.
 [ -f /etc/bashrc ] && source /etc/bashrc
 
-# Adjust the prompt depending on whether we're in 'guix environment'.
-if [ -n \"$GUIX_ENVIRONMENT\" ]
-then
-    PS1='\\u@\\h \\w [env]\\$ '
-else
-    PS1='\\u@\\h \\w\\$ '
-fi
 alias ls='ls -p --color=auto'
 alias ll='ls -l'
 alias grep='grep --color=auto'\n"))