diff --git a/contrib/pyln-client/pyln/client/lightning.py b/contrib/pyln-client/pyln/client/lightning.py
index a56612c7e..f374eafbc 100644
--- a/contrib/pyln-client/pyln/client/lightning.py
+++ b/contrib/pyln-client/pyln/client/lightning.py
@@ -1107,6 +1107,28 @@ class LightningRpc(UnixDomainSocketRpc):
         }
         return self.call("txsend", payload)
 
+    def reserveinputs(self, outputs, feerate=None, minconf=None, utxos=None):
+        """
+        Reserve UTXOs and return a psbt for a 'stub' transaction that
+        spends the reserved UTXOs.
+        """
+        payload = {
+            "outputs": outputs,
+            "feerate": feerate,
+            "minconf": minconf,
+            "utxos": utxos,
+        }
+        return self.call("reserveinputs", payload)
+
+    def unreserveinputs(self, psbt):
+        """
+        Unreserve UTXOs that were previously reserved.
+        """
+        payload = {
+            "psbt": psbt,
+        }
+        return self.call("unreserveinputs", payload)
+
     def signmessage(self, message):
         """
         Sign a message with this node's secret key.
diff --git a/tests/test_wallet.py b/tests/test_wallet.py
index e3a982b17..a60677a64 100644
--- a/tests/test_wallet.py
+++ b/tests/test_wallet.py
@@ -436,6 +436,131 @@ def test_txprepare(node_factory, bitcoind, chainparams):
     assert decode['vout'][changenum]['scriptPubKey']['type'] == 'witness_v0_keyhash'
 
 
+def test_reserveinputs(node_factory, bitcoind, chainparams):
+    """
+    Reserve inputs is basically the same as txprepare, with the
+    slight exception that 'reserveinputs' doesn't keep the
+    unsent transaction around
+    """
+    amount = 1000000
+    total_outs = 12
+    l1 = node_factory.get_node(feerates=(7500, 7500, 7500, 7500))
+    addr = chainparams['example_addr']
+
+    # Add a medley of funds to withdraw later, bech32 + p2sh-p2wpkh
+    for i in range(total_outs // 2):
+        bitcoind.rpc.sendtoaddress(l1.rpc.newaddr()['bech32'],
+                                   amount / 10**8)
+        bitcoind.rpc.sendtoaddress(l1.rpc.newaddr('p2sh-segwit')['p2sh-segwit'],
+                                   amount / 10**8)
+
+    bitcoind.generate_block(1)
+    wait_for(lambda: len(l1.rpc.listfunds()['outputs']) == total_outs)
+
+    utxo_count = 8
+    sent = Decimal('0.01') * (utxo_count - 1)
+    reserved = l1.rpc.reserveinputs(outputs=[{addr: Millisatoshi(amount * (utxo_count - 1) * 1000)}])
+    assert reserved['feerate_per_kw'] == 7500
+    psbt = bitcoind.rpc.decodepsbt(reserved['psbt'])
+    out_found = False
+
+    assert len(psbt['inputs']) == utxo_count
+    outputs = l1.rpc.listfunds()['outputs']
+    assert len([x for x in outputs if not x['reserved']]) == total_outs - utxo_count
+    assert len([x for x in outputs if x['reserved']]) == utxo_count
+    total_outs -= utxo_count
+    saved_input = psbt['tx']['vin'][0]
+
+    # We should have two outputs
+    for vout in psbt['tx']['vout']:
+        if vout['scriptPubKey']['addresses'][0] == addr:
+            assert vout['value'] == sent
+            out_found = True
+    assert out_found
+
+    # Do it again, but for too many inputs
+    utxo_count = 12 - utxo_count + 1
+    sent = Decimal('0.01') * (utxo_count - 1)
+    with pytest.raises(RpcError, match=r"Cannot afford transaction"):
+        reserved = l1.rpc.reserveinputs(outputs=[{addr: Millisatoshi(amount * (utxo_count - 1) * 1000)}])
+
+    utxo_count -= 1
+    sent = Decimal('0.01') * (utxo_count - 1)
+    reserved = l1.rpc.reserveinputs(outputs=[{addr: Millisatoshi(amount * (utxo_count - 1) * 1000)}], feerate='10000perkw')
+
+    assert reserved['feerate_per_kw'] == 10000
+    psbt = bitcoind.rpc.decodepsbt(reserved['psbt'])
+
+    assert len(psbt['inputs']) == utxo_count
+    outputs = l1.rpc.listfunds()['outputs']
+    assert len([x for x in outputs if not x['reserved']]) == total_outs - utxo_count == 0
+    assert len([x for x in outputs if x['reserved']]) == 12
+
+    # No more available
+    with pytest.raises(RpcError, match=r"Cannot afford transaction"):
+        reserved = l1.rpc.reserveinputs(outputs=[{addr: Millisatoshi(amount * 1)}], feerate='253perkw')
+
+    # Unreserve three, from different psbts
+    unreserve_utxos = [
+        {
+            'txid': saved_input['txid'],
+            'vout': saved_input['vout'],
+            'sequence': saved_input['sequence']
+        }, {
+            'txid': psbt['tx']['vin'][0]['txid'],
+            'vout': psbt['tx']['vin'][0]['vout'],
+            'sequence': psbt['tx']['vin'][0]['sequence']
+        }, {
+            'txid': psbt['tx']['vin'][1]['txid'],
+            'vout': psbt['tx']['vin'][1]['vout'],
+            'sequence': psbt['tx']['vin'][1]['sequence']
+        }]
+    unreserve_psbt = bitcoind.rpc.createpsbt(unreserve_utxos, [])
+
+    unreserved = l1.rpc.unreserveinputs(unreserve_psbt)
+    assert unreserved['all_unreserved']
+    outputs = l1.rpc.listfunds()['outputs']
+    assert len([x for x in outputs if not x['reserved']]) == len(unreserved['outputs'])
+    for i in range(len(unreserved['outputs'])):
+        un = unreserved['outputs'][i]
+        u_utxo = unreserve_utxos[i]
+        assert un['txid'] == u_utxo['txid'] and un['vout'] == u_utxo['vout'] and un['unreserved']
+
+    # Try unreserving the same utxos again, plus one that's not included
+    # We expect this to be a no-op.
+    unreserve_utxos.append({'txid': 'b' * 64, 'vout': 0, 'sequence': 0})
+    unreserve_psbt = bitcoind.rpc.createpsbt(unreserve_utxos, [])
+    unreserved = l1.rpc.unreserveinputs(unreserve_psbt)
+    assert not unreserved['all_unreserved']
+    for un in unreserved['outputs']:
+        assert not un['unreserved']
+    assert len([x for x in l1.rpc.listfunds()['outputs'] if not x['reserved']]) == 3
+
+    # passing in an empty string should fail
+    with pytest.raises(RpcError, match=r"should be a PSBT, not "):
+        l1.rpc.unreserveinputs('')
+
+    # reserve one of the utxos that we just unreserved
+    utxos = []
+    utxos.append(saved_input['txid'] + ":" + str(saved_input['vout']))
+    reserved = l1.rpc.reserveinputs([{addr: Millisatoshi(amount * 0.5 * 1000)}], feerate='253perkw', utxos=utxos)
+    assert len([x for x in l1.rpc.listfunds()['outputs'] if not x['reserved']]) == 2
+    psbt = bitcoind.rpc.decodepsbt(reserved['psbt'])
+    assert len(psbt['inputs']) == 1
+    vin = psbt['tx']['vin'][0]
+    assert vin['txid'] == saved_input['txid'] and vin['vout'] == saved_input['vout']
+
+    # reserve them all!
+    reserved = l1.rpc.reserveinputs([{addr: 'all'}])
+    outputs = l1.rpc.listfunds()['outputs']
+    assert len([x for x in outputs if not x['reserved']]) == 0
+    assert len([x for x in outputs if x['reserved']]) == 12
+
+    # FIXME: restart the node, nothing will remain reserved
+    l1.restart()
+    assert len(l1.rpc.listfunds()['outputs']) == 12
+
+
 def test_txsend(node_factory, bitcoind, chainparams):
     amount = 1000000
     l1 = node_factory.get_node(random_hsm=True)
diff --git a/wallet/wallet.c b/wallet/wallet.c
index 1a5ce0677..a64f787e5 100644
--- a/wallet/wallet.c
+++ b/wallet/wallet.c
@@ -355,6 +355,15 @@ struct utxo *wallet_utxo_get(const tal_t *ctx, struct wallet *w,
 	return utxo;
 }
 
+bool wallet_unreserve_output(struct wallet *w,
+			     const struct bitcoin_txid *txid,
+			     const u32 outnum)
+{
+	return wallet_update_output_status(w, txid, outnum,
+					   output_state_reserved,
+					   output_state_available);
+}
+
 /**
  * unreserve_utxo - Mark a reserved UTXO as available again
  */
@@ -376,6 +385,11 @@ static void destroy_utxos(const struct utxo **utxos, struct wallet *w)
 		unreserve_utxo(w, utxos[i]);
 }
 
+void wallet_persist_utxo_reservation(struct wallet *w, const struct utxo **utxos)
+{
+	tal_del_destructor2(utxos, destroy_utxos, w);
+}
+
 void wallet_confirm_utxos(struct wallet *w, const struct utxo **utxos)
 {
 	tal_del_destructor2(utxos, destroy_utxos, w);
diff --git a/wallet/wallet.h b/wallet/wallet.h
index 0f0d132e0..8d326ddb2 100644
--- a/wallet/wallet.h
+++ b/wallet/wallet.h
@@ -1246,6 +1246,20 @@ void add_unreleased_tx(struct wallet *w, struct unreleased_tx *utx);
 /* These will touch the db, so need to be explicitly freed. */
 void free_unreleased_txs(struct wallet *w);
 
+/* wallet_persist_utxo_reservation - Removes destructor
+ *
+ * Persists the reservation in the database (until a restart)
+ * instead of clearing the reservation when the utxo object
+ * is destroyed */
+void wallet_persist_utxo_reservation(struct wallet *w, const struct utxo **utxos);
+
+/* wallet_unreserve_output - Unreserve a utxo
+ *
+ * We unreserve utxos so that they can be spent elsewhere.
+ * */
+bool wallet_unreserve_output(struct wallet *w,
+			     const struct bitcoin_txid *txid,
+			     const u32 outnum);
 /**
  * Get a list of transactions that we track in the wallet.
  *
diff --git a/wallet/walletrpc.c b/wallet/walletrpc.c
index 4afc14b03..0612fd358 100644
--- a/wallet/walletrpc.c
+++ b/wallet/walletrpc.c
@@ -1158,3 +1158,103 @@ static const struct json_command listtransactions_command = {
     "it closes the channel and returns funds to the wallet."
 };
 AUTODATA(json_command, &listtransactions_command);
+
+static struct command_result *json_reserveinputs(struct command *cmd,
+						 const char *buffer,
+						 const jsmntok_t *obj UNNEEDED,
+						 const jsmntok_t *params)
+{
+	struct command_result *res;
+	struct json_stream *response;
+	struct unreleased_tx *utx;
+
+	u32 feerate;
+
+	res = json_prepare_tx(cmd, buffer, params, false, &utx, &feerate);
+	if (res)
+		return res;
+
+	/* Unlike json_txprepare, we don't keep the utx object
+	 * around, so we remove the auto-cleanup that happens
+	 * when the utxo objects are free'd */
+	wallet_persist_utxo_reservation(cmd->ld->wallet, utx->wtx->utxos);
+
+	response = json_stream_success(cmd);
+	json_add_psbt(response, "psbt", utx->tx->psbt);
+	json_add_u32(response, "feerate_per_kw", feerate);
+	return command_success(cmd, response);
+}
+static const struct json_command reserveinputs_command = {
+	"reserveinputs",
+	"bitcoin",
+	json_reserveinputs,
+	"Reserve inputs and pass back the resulting psbt",
+	false
+};
+AUTODATA(json_command, &reserveinputs_command);
+
+static struct command_result *param_psbt(struct command *cmd,
+					 const char *name,
+					 const char *buffer,
+					 const jsmntok_t *tok,
+					 struct wally_psbt **psbt)
+{
+	/* Pull out the token into a string, then pass to
+	 * the PSBT parser; PSBT parser can't handle streaming
+	 * atm as it doesn't accept a len value */
+	char *psbt_buff = json_strdup(cmd, buffer, tok);
+	if (psbt_from_b64(psbt_buff, psbt))
+		return NULL;
+
+	return command_fail(cmd, LIGHTNINGD, "'%s' should be a PSBT, not '%.*s'",
+			    name, json_tok_full_len(tok),
+			    json_tok_full(buffer, tok));
+}
+
+static struct command_result *json_unreserveinputs(struct command *cmd,
+						   const char *buffer,
+						   const jsmntok_t *obj UNNEEDED,
+						   const jsmntok_t *params)
+{
+	struct json_stream *response;
+	struct wally_psbt *psbt;
+	bool all_unreserved;
+
+	/* for each input in the psbt, attempt to 'unreserve' it */
+	if (!param(cmd, buffer, params,
+		   p_req("psbt", param_psbt, &psbt),
+		   NULL))
+		return command_param_failed();
+
+	response = json_stream_success(cmd);
+	all_unreserved = psbt->tx->num_inputs != 0;
+	json_array_start(response, "outputs");
+	for (size_t i = 0; i < psbt->tx->num_inputs; i++) {
+		struct wally_tx_input *in;
+		struct bitcoin_txid txid;
+		bool unreserved;
+
+		in = &psbt->tx->inputs[i];
+		wally_tx_input_get_txid(in, &txid);
+		unreserved = wallet_unreserve_output(cmd->ld->wallet,
+						     &txid, in->index);
+		json_object_start(response, NULL);
+		json_add_txid(response, "txid", &txid);
+		json_add_u64(response, "vout", in->index);
+		json_add_bool(response, "unreserved", unreserved);
+		json_object_end(response);
+		all_unreserved &= unreserved;
+	}
+	json_array_end(response);
+
+	json_add_bool(response, "all_unreserved", all_unreserved);
+	return command_success(cmd, response);
+}
+static const struct json_command unreserveinputs_command = {
+	"unreserveinputs",
+	"bitcoin",
+	json_unreserveinputs,
+	"Unreserve inputs, freeing them up to be reused",
+	false
+};
+AUTODATA(json_command, &unreserveinputs_command);