diff --git a/src/Microsoft.PowerShell.Commands.Utility/commands/utility/WebCmdlet/Common/WebRequestPSCmdlet.Common.cs b/src/Microsoft.PowerShell.Commands.Utility/commands/utility/WebCmdlet/Common/WebRequestPSCmdlet.Common.cs
index 38b4e645ec6..c231aeac5ab 100644
--- a/src/Microsoft.PowerShell.Commands.Utility/commands/utility/WebCmdlet/Common/WebRequestPSCmdlet.Common.cs
+++ b/src/Microsoft.PowerShell.Commands.Utility/commands/utility/WebCmdlet/Common/WebRequestPSCmdlet.Common.cs
@@ -16,6 +16,8 @@
 using System.Security.Cryptography;
 using System.Security.Cryptography.X509Certificates;
 using System.Text;
+using System.Text.Json;
+using System.Text.Json.Nodes;
 using System.Text.RegularExpressions;
 using System.Threading;
 using System.Threading.Tasks;
@@ -1463,10 +1465,8 @@ protected override void ProcessRecord()
                                     StreamReader reader = null;
                                     try
                                     {
-                                        reader = new(StreamHelper.GetResponseStream(response));
-
-                                        // Remove HTML tags making it easier to read
-                                        detailMsg = System.Text.RegularExpressions.Regex.Replace(reader.ReadToEnd(), "<[^>]*>", string.Empty);
+                                        reader = new StreamReader(StreamHelper.GetResponseStream(response));
+                                        detailMsg = FormatErrorMessage(reader.ReadToEnd(), contentType);
                                     }
                                     catch
                                     {
@@ -1821,6 +1821,60 @@ private static StreamContent GetMultipartFileContent(object fieldName, FileInfo
 
             return result;
         }
+
+        private static string FormatErrorMessage(string error, string contentType)
+        {
+            string formattedError = null;
+
+            try
+            {
+                if (ContentHelper.IsXml(contentType))
+                {
+                    XmlDocument doc = new();
+                    doc.LoadXml(error);
+
+                    XmlWriterSettings settings = new XmlWriterSettings {
+                        Indent = true,
+                        NewLineOnAttributes = true,
+                        OmitXmlDeclaration = true
+                    };
+
+                    if (doc.FirstChild is XmlDeclaration)
+                    {
+                        XmlDeclaration decl = doc.FirstChild as XmlDeclaration;
+                        settings.Encoding = Encoding.GetEncoding(decl.Encoding);
+                    }
+
+                    StringBuilder stringBuilder = new();
+                    using XmlWriter xmlWriter = XmlWriter.Create(stringBuilder, settings);
+                    doc.Save(xmlWriter);
+                    string xmlString = stringBuilder.ToString();
+
+                    formattedError = Environment.NewLine + xmlString;
+                }
+                else if (ContentHelper.IsJson(contentType))
+                {
+                    JsonNode jsonNode = JsonNode.Parse(error);
+                    JsonSerializerOptions options = new JsonSerializerOptions { WriteIndented = true };
+                    string jsonString = jsonNode.ToJsonString(options);
+
+                    formattedError = Environment.NewLine + jsonString;
+                }
+            }
+            catch
+            {
+                // Ignore errors
+            }
+            
+            if (string.IsNullOrEmpty(formattedError))
+            {
+                // Remove HTML tags making it easier to read
+                formattedError = System.Text.RegularExpressions.Regex.Replace(error, "<[^>]*>", string.Empty);
+            }
+
+            return formattedError;
+        }
+
         #endregion Helper Methods
     }
 }
diff --git a/test/powershell/Modules/Microsoft.PowerShell.Utility/WebCmdlets.Tests.ps1 b/test/powershell/Modules/Microsoft.PowerShell.Utility/WebCmdlets.Tests.ps1
index 43363edb6eb..35262d8bf41 100644
--- a/test/powershell/Modules/Microsoft.PowerShell.Utility/WebCmdlets.Tests.ps1
+++ b/test/powershell/Modules/Microsoft.PowerShell.Utility/WebCmdlets.Tests.ps1
@@ -785,6 +785,35 @@ Describe "Invoke-WebRequest tests" -Tags "Feature", "RequireAdminOnWindows" {
         $result.Error.FullyQualifiedErrorId | Should -Be "WebCmdletWebResponseException,Microsoft.PowerShell.Commands.InvokeWebRequestCommand"
     }
 
+    It "Validate Invoke-WebRequest returns <type> errors in exception" -TestCases @(
+        @{ type = "XML"
+           query = @{
+                        contenttype = 'application/xml'
+                        body = '<?xml version="1.0" encoding="UTF-8"?><Error><Code>418</Code><Message>I am a teapot!!!</Message></Error>'
+                        statuscode = 418
+                        responsephrase = "I am a teapot"
+                    }
+           expectederror = $IsWindows ? "`r`n<Error>`r`n  <Code>418</Code>`r`n  <Message>I am a teapot!!!</Message>`r`n</Error>" : "`n<Error>`n  <Code>418</Code>`n  <Message>I am a teapot!!!</Message>`n</Error>"
+        }
+
+        @{ type = "Json"
+           query = @{
+                        contenttype = 'application/json'
+                        body = '{"error":{"code":"418", "message":"I am a teapot!!!"}}'
+                        statuscode = 418
+                        responsephrase = "I am a teapot"
+                    }
+           expectederror = $IsWindows ? "`r`n{`r`n  `"error`": {`r`n    `"code`": `"418`",`r`n    `"message`": `"I am a teapot!!!`"`r`n  }`r`n}" : "`n{`n  `"error`": {`n    `"code`": `"418`",`n    `"message`": `"I am a teapot!!!`"`n  }`n}"
+        }
+    ) {
+        param($query, $expectederror)
+        $uri = Get-WebListenerUrl -Test 'Response' -Query $query
+        $command = "Invoke-WebRequest -Uri '$uri'"
+        $result = ExecuteWebCommand -command $command
+
+        $result.Error.ErrorDetails.Message | Should -Be $expectederror
+    }
+
     It "Validate Invoke-WebRequest returns empty RelationLink property if there is no Link Header" {
         $uri = $uri = Get-WebListenerUrl -Test 'Get'
         $command = "Invoke-WebRequest -Uri '$uri'"