diff --git a/.mngr/settings.toml b/.mngr/settings.toml
index 7542d9cb..459f469c 100644
--- a/.mngr/settings.toml
+++ b/.mngr/settings.toml
@@ -70,12 +70,13 @@ yes = true
 [agent_types.claude]
 auto_dismiss_dialogs = true
 auto_allow_permissions = true
-cli_args = """--dangerously-skip-permissions --disallowed-tools AskUserQuestion,ExitPlanMode,TodoWrite,TaskCreate,TaskList,TaskUpdate"""
+auto_disable_questions = true
+cli_args = """--dangerously-skip-permissions --disallowed-tools ExitPlanMode,TodoWrite,TaskCreate,TaskList,TaskUpdate"""
 settings_overrides__extend = {model = "opus[1m]", fastMode = true}
 # Pin Claude Code to a specific version; the provisioning-time version check
 # refuses to start the agent if the installed binary diverges. Bump this in
 # sync with CLAUDE_CODE_VERSION in the Dockerfile.
-version = "2.1.160"
+version = "2.1.207"
 # Share the services agent's CLAUDE_CONFIG_DIR across every other agent so
 # auth, plugins, marketplaces, and settings are configured exactly once
 # (inside the services agent) and inherited via the host env file the
diff --git a/Dockerfile b/Dockerfile
index c021cd8e..623db4ae 100644
--- a/Dockerfile
+++ b/Dockerfile
@@ -7,7 +7,7 @@ ENV PATH="/root/.local/bin:$PATH"
 # Pin Claude Code; passed to setup_system.sh and recorded for the runtime version
 # check. Keep in sync with agent_types.claude.version in .mngr/settings.toml and
 # the default in scripts/setup_system.sh. Bump deliberately, not by accident.
-ARG CLAUDE_CODE_VERSION=2.1.160
+ARG CLAUDE_CODE_VERSION=2.1.207
 ENV CLAUDE_CODE_VERSION=${CLAUDE_CODE_VERSION}
 
 # ============================================================================
diff --git a/changelog/mngr-fable.md b/changelog/mngr-fable.md
new file mode 100644
index 00000000..9b813acf
--- /dev/null
+++ b/changelog/mngr-fable.md
@@ -0,0 +1,3 @@
+Bump the pinned Claude Code version from 2.1.160 to 2.1.207 (Dockerfile, setup_system.sh, and the `[agent_types.claude].version` pin in .mngr/settings.toml), enabling the Claude Fable 5 model in workspaces. Lands together with the matching mngr PR that bumps the release Dockerfile pin and adds `claude-fable-5` to the LiteLLM proxy.
+
+Switch AskUserQuestion blocking from the raw `cli_args` `--disallowed-tools` list to mngr's new typed `auto_disable_questions = true` setting (requires the vendored mngr to include that field; merge after the vendor/mngr re-sync).
diff --git a/scripts/setup_system.sh b/scripts/setup_system.sh
index 52ac1a20..093c1838 100755
--- a/scripts/setup_system.sh
+++ b/scripts/setup_system.sh
@@ -18,7 +18,7 @@ provision_skip_if_done setup_system
 : "${TTYD_VERSION:=1.7.7}"
 : "${CLOUDFLARED_VERSION:=2026.3.0}"
 : "${UV_VERSION:=0.11.7}"
-: "${CLAUDE_CODE_VERSION:=2.1.160}"
+: "${CLAUDE_CODE_VERSION:=2.1.207}"
 : "${MODAL_VERSION:=1.4.2}"
 : "${NODE_MAJOR:=20}"
 : "${LATCHKEY_VERSION:=2.20.0}"