diff --git a/frame/tips/src/migrations/mod.rs b/frame/tips/src/migrations/mod.rs
index f7f144adcdb6e..9cdd01c17fbf6 100644
--- a/frame/tips/src/migrations/mod.rs
+++ b/frame/tips/src/migrations/mod.rs
@@ -21,3 +21,6 @@
 /// before calling this migration. After calling this migration, it will get replaced with
 /// own storage identifier.
 pub mod v4;
+
+/// A migration that unreserves all funds held in the context of this pallet.
+pub mod unreserve_deposits;
diff --git a/frame/tips/src/migrations/unreserve_deposits.rs b/frame/tips/src/migrations/unreserve_deposits.rs
new file mode 100644
index 0000000000000..878d80fe1bb4e
--- /dev/null
+++ b/frame/tips/src/migrations/unreserve_deposits.rs
@@ -0,0 +1,254 @@
+// This file is part of Substrate.
+
+// Copyright (C) Parity Technologies (UK) Ltd.
+// SPDX-License-Identifier: Apache-2.0
+
+// Licensed under the Apache License, Version 2.0 (the "License");
+// you may not use this file except in compliance with the License.
+// You may obtain a copy of the License at
+//
+// 	http://www.apache.org/licenses/LICENSE-2.0
+//
+// Unless required by applicable law or agreed to in writing, software
+// distributed under the License is distributed on an "AS IS" BASIS,
+// WITHOUT WARRANTIES OR CONDITIONS OF ANY KIND, either express or implied.
+// See the License for the specific language governing permissions and
+// limitations under the License.
+
+//! A migration that unreserves all deposit and unlocks all stake held in the context of this
+//! pallet.
+
+use core::iter::Sum;
+use frame_support::traits::{OnRuntimeUpgrade, ReservableCurrency};
+use pallet_treasury::BalanceOf;
+use sp_runtime::{traits::Zero, Saturating};
+use sp_std::collections::btree_map::BTreeMap;
+
+#[cfg(feature = "try-runtime")]
+use sp_std::vec::Vec;
+
+/// A migration that unreserves all tip deposits.
+///
+/// Useful to prevent funds from being locked up when the pallet is deprecated.
+///
+/// The pallet should be made inoperable before or immediately after this migration is run.
+///
+/// (See also the `RemovePallet` migration in `frame/support/src/migrations.rs`)
+pub struct UnreserveDeposits<T: crate::Config<I>, I: 'static>(sp_std::marker::PhantomData<(T, I)>);
+
+impl<T: crate::Config<I>, I: 'static> UnreserveDeposits<T, I> {
+	/// Calculates and returns the total amount reserved by each account by this pallet from open
+	/// tips.
+	///
+	/// # Returns
+	///
+	/// * `BTreeMap<T::AccountId, T::Balance>`: Map of account IDs to their respective total
+	///   reserved balance by this pallet
+	/// * `frame_support::weights::Weight`: The weight of this operation.
+	fn get_deposits() -> (BTreeMap<T::AccountId, BalanceOf<T, I>>, frame_support::weights::Weight) {
+		use frame_support::traits::Get;
+
+		let mut tips_len = 0;
+		let account_deposits: BTreeMap<T::AccountId, BalanceOf<T, I>> = crate::Tips::<T, I>::iter()
+			.map(|(_hash, open_tip)| open_tip)
+			.fold(BTreeMap::new(), |mut acc, tip| {
+				// Count the total number of tips
+				tips_len.saturating_accrue(1);
+
+				// Add the balance to the account's existing deposit in the accumulator
+				acc.entry(tip.finder).or_insert(Zero::zero()).saturating_accrue(tip.deposit);
+				acc
+			});
+
+		(account_deposits, T::DbWeight::get().reads(tips_len))
+	}
+}
+
+impl<T: crate::Config<I>, I: 'static> OnRuntimeUpgrade for UnreserveDeposits<T, I>
+where
+	BalanceOf<T, I>: Sum,
+{
+	/// Gets the actual reserved amount for each account before the migration, performs integrity
+	/// checks and prints some summary information.
+	///
+	/// Steps:
+	/// 1. Gets the deposited balances for each account stored in this pallet.
+	/// 2. Collects actual pre-migration reserved balances for each account.
+	/// 3. Checks the integrity of the deposited balances.
+	/// 4. Prints summary statistics about the state to be migrated.
+	/// 5. Returns the pre-migration actual reserved balance for each account that will
+	/// be part of the migration.
+	///
+	/// Fails with a `TryRuntimeError` if somehow the amount reserved by this pallet is greater than
+	/// the actual total reserved amount for any accounts.
+	#[cfg(feature = "try-runtime")]
+	fn pre_upgrade() -> Result<Vec<u8>, sp_runtime::TryRuntimeError> {
+		use codec::Encode;
+		use frame_support::ensure;
+
+		// Get the Tips pallet view of balances it has reserved
+		let (account_deposits, _) = Self::get_deposits();
+
+		// Get the actual amounts reserved for accounts with open tips
+		let account_reserved_before: BTreeMap<T::AccountId, BalanceOf<T, I>> = account_deposits
+			.keys()
+			.map(|account| (account.clone(), T::Currency::reserved_balance(&account)))
+			.collect();
+
+		// The deposit amount must be less than or equal to the reserved amount.
+		// If it is higher, there is either a bug with the pallet or a bug in the calculation of the
+		// deposit amount.
+		ensure!(
+			account_deposits.iter().all(|(account, deposit)| *deposit <=
+				*account_reserved_before.get(account).unwrap_or(&Zero::zero())),
+			"Deposit amount is greater than reserved amount"
+		);
+
+		// Print some summary stats
+		let total_deposits_to_unreserve =
+			account_deposits.clone().into_values().sum::<BalanceOf<T, I>>();
+		log::info!("Total accounts: {}", account_deposits.keys().count());
+		log::info!("Total amount to unreserve: {:?}", total_deposits_to_unreserve);
+
+		// Return the actual amount reserved before the upgrade to verify integrity of the upgrade
+		// in the post_upgrade hook.
+		Ok(account_reserved_before.encode())
+	}
+
+	/// Executes the migration, unreserving funds that are locked in Tip deposits.
+	fn on_runtime_upgrade() -> frame_support::weights::Weight {
+		use frame_support::traits::Get;
+
+		// Get staked and deposited balances as reported by this pallet.
+		let (account_deposits, initial_reads) = Self::get_deposits();
+
+		// Deposited funds need to be unreserved.
+		for (account, unreserve_amount) in account_deposits.iter() {
+			if unreserve_amount.is_zero() {
+				continue
+			}
+			T::Currency::unreserve(&account, *unreserve_amount);
+		}
+
+		T::DbWeight::get()
+			.reads_writes(account_deposits.len() as u64, account_deposits.len() as u64)
+			.saturating_add(initial_reads)
+	}
+
+	/// Verifies that the account reserved balances were reduced by the actual expected amounts.
+	#[cfg(feature = "try-runtime")]
+	fn post_upgrade(
+		account_reserved_before_bytes: Vec<u8>,
+	) -> Result<(), sp_runtime::TryRuntimeError> {
+		use codec::Decode;
+
+		let account_reserved_before = BTreeMap::<T::AccountId, BalanceOf<T, I>>::decode(
+			&mut &account_reserved_before_bytes[..],
+		)
+		.map_err(|_| "Failed to decode account_reserved_before_bytes")?;
+
+		// Get deposited balances as reported by this pallet.
+		let (account_deposits, _) = Self::get_deposits();
+
+		// Check that the reserved balance is reduced by the expected deposited amount.
+		for (account, actual_reserved_before) in account_reserved_before {
+			let actual_reserved_after = T::Currency::reserved_balance(&account);
+			let expected_amount_deducted = *account_deposits
+				.get(&account)
+				.expect("account deposit must exist to be in account_reserved_before, qed");
+			let expected_reserved_after =
+				actual_reserved_before.saturating_sub(expected_amount_deducted);
+
+			if actual_reserved_after != expected_reserved_after {
+				log::error!(
+					"Reserved balance for {:?} is incorrect. actual before: {:?}, actual after, {:?}, expected deducted: {:?}",
+					account,
+					actual_reserved_before,
+					actual_reserved_after,
+					expected_amount_deducted
+				);
+				return Err("Reserved balance is incorrect".into())
+			}
+		}
+
+		Ok(())
+	}
+}
+
+#[cfg(all(feature = "try-runtime", test))]
+mod test {
+	use super::*;
+	use crate::{
+		migrations::unreserve_deposits::UnreserveDeposits,
+		tests::{new_test_ext, RuntimeOrigin, Test, Tips},
+	};
+	use frame_support::{assert_ok, traits::TypedGet};
+
+	#[test]
+	fn unreserve_all_funds_works() {
+		let tipper_0 = 0;
+		let tipper_1 = 1;
+		let tipper_0_initial_reserved = 0;
+		let tipper_1_initial_reserved = 5;
+		let recipient = 100;
+		let tip_0_reason = b"what_is_really_not_awesome".to_vec();
+		let tip_1_reason = b"pineapple_on_pizza".to_vec();
+		new_test_ext().execute_with(|| {
+			// Set up
+			assert_ok!(<Test as pallet_treasury::Config>::Currency::reserve(
+				&tipper_0,
+				tipper_0_initial_reserved
+			));
+			assert_ok!(<Test as pallet_treasury::Config>::Currency::reserve(
+				&tipper_1,
+				tipper_1_initial_reserved
+			));
+
+			// Make some tips
+			assert_ok!(Tips::report_awesome(
+				RuntimeOrigin::signed(tipper_0),
+				tip_0_reason.clone(),
+				recipient
+			));
+			assert_ok!(Tips::report_awesome(
+				RuntimeOrigin::signed(tipper_1),
+				tip_1_reason.clone(),
+				recipient
+			));
+
+			// Verify the expected amount is reserved
+			assert_eq!(
+				<Test as pallet_treasury::Config>::Currency::reserved_balance(&tipper_0),
+				tipper_0_initial_reserved +
+					<Test as crate::Config>::TipReportDepositBase::get() +
+					<Test as crate::Config>::DataDepositPerByte::get() *
+						tip_0_reason.len() as u64
+			);
+			assert_eq!(
+				<Test as pallet_treasury::Config>::Currency::reserved_balance(&tipper_1),
+				tipper_1_initial_reserved +
+					<Test as crate::Config>::TipReportDepositBase::get() +
+					<Test as crate::Config>::DataDepositPerByte::get() *
+						tip_1_reason.len() as u64
+			);
+
+			// Execute the migration
+			let bytes = match UnreserveDeposits::<Test, ()>::pre_upgrade() {
+				Ok(bytes) => bytes,
+				Err(e) => panic!("pre_upgrade failed: {:?}", e),
+			};
+			UnreserveDeposits::<Test, ()>::on_runtime_upgrade();
+			assert_ok!(UnreserveDeposits::<Test, ()>::post_upgrade(bytes));
+
+			// Check the deposits were were unreserved
+			assert_eq!(
+				<Test as pallet_treasury::Config>::Currency::reserved_balance(&tipper_0),
+				tipper_0_initial_reserved
+			);
+			assert_eq!(
+				<Test as pallet_treasury::Config>::Currency::reserved_balance(&tipper_1),
+				tipper_1_initial_reserved
+			);
+		});
+	}
+}