diff --git a/lib/pgFormatter/Beautify.pm b/lib/pgFormatter/Beautify.pm
index 61e8aaf..1b89eb8 100755
--- a/lib/pgFormatter/Beautify.pm
+++ b/lib/pgFormatter/Beautify.pm
@@ -1863,7 +1863,10 @@ sub beautify {
 			and (
 				!defined $last
 				or
-				( $last ne ')' and $self->_next_token !~ /^(TIME|FUNCTION)/i )
+				( ( $last ne ')'
+					or ( $self->{'_current_sql_stmt'} eq 'INSERT'
+						and !$self->{'_parenthesis_level'} ) )
+					and $self->_next_token !~ /^(TIME|FUNCTION)/i )
 			)
 		  )
 		{
@@ -1890,6 +1893,11 @@ sub beautify {
 				$self->{'no_break'} = 1
 				  if ( uc( $self->_next_token ) eq 'ORDINALITY' );
 			}
+			# Sibling CTEs and the final query inherit the enclosing block's level.
+			if ( $self->{'_is_in_with'} == 1 and !$self->{'_parenthesis_level'} ) {
+				$self->{_cte_base_level} = $self->{'_level'};
+				$self->{_cte_base_stack} = [ @{ $self->{'_level_stack'} } ];
+			}
 			$self->{'_is_in_materialized'} = 0;
 		}
 		elsif ( $token =~ /^WITH$/i
@@ -2013,15 +2021,12 @@ sub beautify {
                                         $self->{'_level'} = $self->{'_with_base_level'}
                                           if ( $self->{'_with_base_level'} );
 				}
-				$self->_add_token($token);
-				if ( !$self->{'_is_in_operator'} ) {
-					$self->_reset_level( $token, $last );
-                                        # Same rationale for the continuation of the WITH clause
-                                        # (the next CTE after a comma, or the final query): resume
-                                        # at the WITH level, not at column 0.
-                                        $self->{'_level'} = $self->{'_with_base_level'}
-                                          if ( $self->{'_with_base_level'} );
+				if ( !$self->{'_is_in_operator'} and defined $self->{_cte_base_level} ) {
+					$self->_set_level( $self->{_cte_base_level}, $token, $last );
+					@{ $self->{'_level_stack'} } = @{ $self->{_cte_base_stack} };
+					$self->{'content'} .= $self->_indent if ( $self->{'_new_line'} );
 				}
+				$self->_add_token($token);
 				if ( $self->{'_is_in_with'} ) {
 					if ( defined $self->_next_token
 						&& $self->_next_token eq ',' )
diff --git a/t/test-files/cte_indentation.sql b/t/test-files/cte_indentation.sql
new file mode 100644
index 0000000..196b139
--- /dev/null
+++ b/t/test-files/cte_indentation.sql
@@ -0,0 +1,29 @@
+INSERT INTO results (id)
+WITH first_cte AS (SELECT 1 AS id),
+second_cte AS (SELECT id FROM first_cte)
+SELECT id FROM second_cte;
+
+DO $$
+BEGIN
+IF TRUE THEN
+INSERT INTO results (id)
+WITH first_cte AS (SELECT 1 AS id),
+second_cte AS (SELECT id FROM first_cte)
+SELECT id FROM second_cte;
+ELSE
+PERFORM 0;
+END IF;
+END
+$$;
+
+DO $$
+BEGIN
+IF TRUE THEN
+WITH first_cte AS (SELECT 1 AS id),
+second_cte AS (SELECT id FROM first_cte)
+SELECT id FROM second_cte;
+ELSE
+PERFORM 0;
+END IF;
+END
+$$;
diff --git a/t/test-files/expected/cte_indentation.sql b/t/test-files/expected/cte_indentation.sql
new file mode 100644
index 0000000..a80144e
--- /dev/null
+++ b/t/test-files/expected/cte_indentation.sql
@@ -0,0 +1,65 @@
+INSERT INTO results (id)
+WITH first_cte AS (
+    SELECT
+        1 AS id
+),
+second_cte AS (
+    SELECT
+        id
+    FROM
+        first_cte
+)
+SELECT
+    id
+FROM
+    second_cte;
+
+DO $$
+BEGIN
+    IF TRUE THEN
+        INSERT INTO results (id)
+        WITH first_cte AS (
+            SELECT
+                1 AS id
+        ),
+        second_cte AS (
+            SELECT
+                id
+            FROM
+                first_cte
+        )
+        SELECT
+            id
+        FROM
+            second_cte;
+    ELSE
+        PERFORM
+            0;
+    END IF;
+END
+$$;
+
+DO $$
+BEGIN
+    IF TRUE THEN
+        WITH first_cte AS (
+            SELECT
+                1 AS id
+        ),
+        second_cte AS (
+            SELECT
+                id
+            FROM
+                first_cte
+        )
+        SELECT
+            id
+        FROM
+            second_cte;
+    ELSE
+        PERFORM
+            0;
+    END IF;
+END
+$$;
+