diff --git a/src/tools/rust-analyzer/crates/ide-assists/src/handlers/unwrap_block.rs b/src/tools/rust-analyzer/crates/ide-assists/src/handlers/unwrap_block.rs
index a83f6835ca61..e4f5e3523bd2 100644
--- a/src/tools/rust-analyzer/crates/ide-assists/src/handlers/unwrap_block.rs
+++ b/src/tools/rust-analyzer/crates/ide-assists/src/handlers/unwrap_block.rs
@@ -1,10 +1,12 @@
 use syntax::{
-    AstNode, SyntaxKind, T, TextRange,
+    AstNode, SyntaxElement, SyntaxKind, SyntaxNode, T,
     ast::{
         self,
         edit::{AstNodeEdit, IndentLevel},
         make,
     },
+    match_ast,
+    syntax_editor::{Element, Position, SyntaxEditor},
 };
 
 use crate::{AssistContext, AssistId, Assists};
@@ -27,123 +29,108 @@ use crate::{AssistContext, AssistId, Assists};
 // }
 // ```
 pub(crate) fn unwrap_block(acc: &mut Assists, ctx: &AssistContext<'_>) -> Option<()> {
-    let assist_id = AssistId::refactor_rewrite("unwrap_block");
-    let assist_label = "Unwrap block";
     let l_curly_token = ctx.find_token_syntax_at_offset(T!['{'])?;
-    let mut block = ast::BlockExpr::cast(l_curly_token.parent_ancestors().nth(1)?)?;
+    let block = l_curly_token.parent_ancestors().nth(1).and_then(ast::BlockExpr::cast)?;
     let target = block.syntax().text_range();
-    let mut parent = block.syntax().parent()?;
-    if ast::MatchArm::can_cast(parent.kind()) {
-        parent = parent.ancestors().find(|it| ast::MatchExpr::can_cast(it.kind()))?
-    }
+    let mut container = block.syntax().clone();
+    let mut replacement = block.clone();
+    let mut prefer_container = None;
 
-    let kind = parent.kind();
-    if matches!(kind, SyntaxKind::STMT_LIST | SyntaxKind::EXPR_STMT) {
-        acc.add(assist_id, assist_label, target, |builder| {
-            builder.replace(block.syntax().text_range(), update_expr_string(block.to_string()));
-        })
-    } else if matches!(kind, SyntaxKind::LET_STMT) {
-        let parent = ast::LetStmt::cast(parent)?;
-        let pattern = ast::Pat::cast(parent.syntax().first_child()?)?;
-        let ty = parent.ty();
-        let list = block.stmt_list()?;
-        let replaced = match list.syntax().last_child() {
-            Some(last) => {
-                let stmts: Vec<ast::Stmt> = list.statements().collect();
-                let initializer = ast::Expr::cast(last)?;
-                let let_stmt = make::let_stmt(pattern, ty, Some(initializer));
-                if !stmts.is_empty() {
-                    let block = make::block_expr(stmts, None);
-                    format!("{}\n    {}", update_expr_string(block.to_string()), let_stmt)
-                } else {
-                    let_stmt.to_string()
-                }
-            }
-            None => {
-                let empty_tuple = make::ext::expr_unit();
-                make::let_stmt(pattern, ty, Some(empty_tuple)).to_string()
-            }
-        };
-        acc.add(assist_id, assist_label, target, |builder| {
-            builder.replace(parent.syntax().text_range(), replaced);
-        })
-    } else {
-        let parent = ast::Expr::cast(parent)?;
-        match parent.clone() {
-            ast::Expr::ForExpr(_) | ast::Expr::WhileExpr(_) | ast::Expr::LoopExpr(_) => (),
-            ast::Expr::MatchExpr(_) => block = block.dedent(IndentLevel(1)),
-            ast::Expr::IfExpr(if_expr) => {
-                let then_branch = if_expr.then_branch()?;
-                if then_branch == block {
-                    if let Some(ancestor) = if_expr.syntax().parent().and_then(ast::IfExpr::cast) {
-                        // For `else if` blocks
-                        let ancestor_then_branch = ancestor.then_branch()?;
-
-                        return acc.add(assist_id, assist_label, target, |edit| {
-                            let range_to_del_else_if = TextRange::new(
-                                ancestor_then_branch.syntax().text_range().end(),
-                                l_curly_token.text_range().start(),
-                            );
-                            let range_to_del_rest = TextRange::new(
-                                then_branch.syntax().text_range().end(),
-                                if_expr.syntax().text_range().end(),
-                            );
-
-                            edit.delete(range_to_del_rest);
-                            edit.delete(range_to_del_else_if);
-                            edit.replace(
-                                target,
-                                update_expr_string_without_newline(then_branch.to_string()),
-                            );
-                        });
-                    }
-                } else {
-                    return acc.add(assist_id, assist_label, target, |edit| {
-                        let range_to_del = TextRange::new(
-                            then_branch.syntax().text_range().end(),
-                            l_curly_token.text_range().start(),
-                        );
-
-                        edit.delete(range_to_del);
-                        edit.replace(target, update_expr_string_without_newline(block.to_string()));
+    let from_indent = block.indent_level();
+    let into_indent = loop {
+        let parent = container.parent()?;
+        container = match_ast! {
+            match parent {
+                ast::ForExpr(it) => it.syntax().clone(),
+                ast::LoopExpr(it) => it.syntax().clone(),
+                ast::WhileExpr(it) => it.syntax().clone(),
+                ast::MatchArm(it) => it.parent_match().syntax().clone(),
+                ast::LetStmt(it) => {
+                    replacement = wrap_let(&it, replacement);
+                    prefer_container = Some(it.syntax().clone());
+                    it.syntax().clone()
+                },
+                ast::IfExpr(it) => {
+                    prefer_container.get_or_insert_with(|| {
+                        if let Some(else_branch) = it.else_branch()
+                            && *else_branch.syntax() == container
+                        {
+                            else_branch.syntax().clone()
+                        } else {
+                            it.syntax().clone()
+                        }
                     });
-                }
+                    it.syntax().clone()
+                },
+                ast::ExprStmt(it) => it.syntax().clone(),
+                ast::StmtList(it) => break it.indent_level(),
+                _ => return None,
             }
-            _ => return None,
         };
+    };
+    let replacement = replacement.stmt_list()?;
 
-        acc.add(assist_id, assist_label, target, |builder| {
-            builder.replace(parent.syntax().text_range(), update_expr_string(block.to_string()));
-        })
-    }
+    acc.add(AssistId::refactor_rewrite("unwrap_block"), "Unwrap block", target, |builder| {
+        let mut edit = builder.make_editor(block.syntax());
+        let replacement = replacement.dedent(from_indent).indent(into_indent);
+        let container = prefer_container.unwrap_or(container);
+
+        edit.replace_with_many(&container, extract_statements(replacement));
+        delete_else_before(container, &mut edit);
+
+        builder.add_file_edits(ctx.vfs_file_id(), edit);
+    })
 }
 
-fn update_expr_string(expr_string: String) -> String {
-    update_expr_string_with_pat(expr_string, &[' ', '\n'])
+fn delete_else_before(container: SyntaxNode, edit: &mut SyntaxEditor) {
+    let Some(else_token) = container
+        .siblings_with_tokens(syntax::Direction::Prev)
+        .skip(1)
+        .map_while(|it| it.into_token())
+        .find(|it| it.kind() == T![else])
+    else {
+        return;
+    };
+    itertools::chain(else_token.prev_token(), else_token.next_token())
+        .filter(|it| it.kind() == SyntaxKind::WHITESPACE)
+        .for_each(|it| edit.delete(it));
+    let indent = IndentLevel::from_node(&container);
+    let newline = make::tokens::whitespace(&format!("\n{indent}"));
+    edit.replace(else_token, newline);
 }
 
-fn update_expr_string_without_newline(expr_string: String) -> String {
-    update_expr_string_with_pat(expr_string, &[' '])
+fn wrap_let(assign: &ast::LetStmt, replacement: ast::BlockExpr) -> ast::BlockExpr {
+    let try_wrap_assign = || {
+        let initializer = assign.initializer()?.syntax().syntax_element();
+        let replacement = replacement.clone_subtree();
+        let assign = assign.clone_for_update();
+        let tail_expr = replacement.tail_expr()?;
+        let before =
+            assign.syntax().children_with_tokens().take_while(|it| *it != initializer).collect();
+        let after = assign
+            .syntax()
+            .children_with_tokens()
+            .skip_while(|it| *it != initializer)
+            .skip(1)
+            .collect();
+
+        let mut edit = SyntaxEditor::new(replacement.syntax().clone());
+        edit.insert_all(Position::before(tail_expr.syntax()), before);
+        edit.insert_all(Position::after(tail_expr.syntax()), after);
+        ast::BlockExpr::cast(edit.finish().new_root().clone())
+    };
+    try_wrap_assign().unwrap_or(replacement)
 }
 
-fn update_expr_string_with_pat(expr_str: String, whitespace_pat: &[char]) -> String {
-    // Remove leading whitespace, index to remove the leading '{',
-    // then continue to remove leading whitespace.
-    // We cannot assume the `{` is the first character because there are block modifiers
-    // (`unsafe`, `async` etc.).
-    let after_open_brace_index = expr_str.find('{').map_or(0, |it| it + 1);
-    let expr_str = expr_str[after_open_brace_index..].trim_start_matches(whitespace_pat);
-
-    // Remove trailing whitespace, index [..expr_str.len() - 1] to remove the trailing '}',
-    // then continue to remove trailing whitespace.
-    let expr_str = expr_str.trim_end_matches(whitespace_pat);
-    let expr_str = expr_str[..expr_str.len() - 1].trim_end_matches(whitespace_pat);
-
-    expr_str
-        .lines()
-        .map(|line| line.replacen("    ", "", 1)) // Delete indentation
-        .collect::<Vec<String>>()
-        .join("\n")
+fn extract_statements(stmt_list: ast::StmtList) -> Vec<SyntaxElement> {
+    let mut elements = stmt_list
+        .syntax()
+        .children_with_tokens()
+        .filter(|it| !matches!(it.kind(), T!['{'] | T!['}']))
+        .skip_while(|it| it.kind() == SyntaxKind::WHITESPACE)
+        .collect::<Vec<_>>();
+    while elements.pop_if(|it| it.kind() == SyntaxKind::WHITESPACE).is_some() {}
+    elements
 }
 
 #[cfg(test)]
@@ -593,6 +580,30 @@ fn main() {
         );
     }
 
+    #[test]
+    fn unwrap_match_arm_in_let() {
+        check_assist(
+            unwrap_block,
+            r#"
+fn main() {
+    let value = match rel_path {
+        Ok(rel_path) => {$0
+            let rel_path = RelativePathBuf::from_path(rel_path).ok()?;
+            Some((*id, rel_path))
+        }
+        Err(_) => None,
+    };
+}
+"#,
+            r#"
+fn main() {
+    let rel_path = RelativePathBuf::from_path(rel_path).ok()?;
+    let value = Some((*id, rel_path));
+}
+"#,
+        );
+    }
+
     #[test]
     fn simple_if_in_while_bad_cursor_position() {
         check_assist_not_applicable(
@@ -750,19 +761,6 @@ fn main() -> i32 {
         check_assist(
             unwrap_block,
             r#"
-fn main() {
-    let x = {$0};
-}
-"#,
-            r#"
-fn main() {
-    let x = ();
-}
-"#,
-        );
-        check_assist(
-            unwrap_block,
-            r#"
 fn main() {
     let x = {$0
         bar
@@ -784,8 +782,7 @@ fn main() -> i32 {
 "#,
             r#"
 fn main() -> i32 {
-    1;
-    let _ = 2;
+    1; let _ = 2;
 }
 "#,
         );
@@ -795,11 +792,29 @@ fn main() -> i32 {
 fn main() -> i32 {
     let mut a = {$01; 2};
 }
+"#,
+            r#"
+fn main() -> i32 {
+    1; let mut a = 2;
+}
+"#,
+        );
+        check_assist(
+            unwrap_block,
+            r#"
+fn main() -> i32 {
+    let mut a = {$0
+        1;
+        2;
+        3
+    };
+}
 "#,
             r#"
 fn main() -> i32 {
     1;
-    let mut a = 2;
+    2;
+    let mut a = 3;
 }
 "#,
         );