diff --git a/org.eclipse.jdt.ls.core/gradle/init/init.gradle b/org.eclipse.jdt.ls.core/gradle/init/init.gradle
index ba83af2db5..5749fcce06 100644
--- a/org.eclipse.jdt.ls.core/gradle/init/init.gradle
+++ b/org.eclipse.jdt.ls.core/gradle/init/init.gradle
@@ -3,6 +3,8 @@ allprojects {
         // Add prefix when project name has conflicts with root project name
         if (project != rootProject && rootProject.name.toLowerCase() == project.name.toLowerCase()) {
             eclipse.project.name = (rootProject.name + project.path).replaceAll(':', '-')
+        } else if (project == rootProject && rootProject.name.toLowerCase() != project.projectDir.name.toLowerCase()) {
+            eclipse.project.name = (rootProject.name + '-' + project.projectDir.name).replaceAll(':', '-')
         }
     })
 }
diff --git a/org.eclipse.jdt.ls.tests/projects/gradle/nameconflict2/complete/build.gradle b/org.eclipse.jdt.ls.tests/projects/gradle/nameconflict2/complete/build.gradle
new file mode 100644
index 0000000000..f12c222de9
--- /dev/null
+++ b/org.eclipse.jdt.ls.tests/projects/gradle/nameconflict2/complete/build.gradle
@@ -0,0 +1,15 @@
+plugins {
+	id 'java'
+}
+
+group = 'com.example'
+version = '0.0.1-SNAPSHOT'
+sourceCompatibility = '17'
+
+repositories {
+	mavenCentral()
+}
+
+dependencies {
+
+}
diff --git a/org.eclipse.jdt.ls.tests/projects/gradle/nameconflict2/complete/settings.gradle b/org.eclipse.jdt.ls.tests/projects/gradle/nameconflict2/complete/settings.gradle
new file mode 100644
index 0000000000..b75ef0f2d2
--- /dev/null
+++ b/org.eclipse.jdt.ls.tests/projects/gradle/nameconflict2/complete/settings.gradle
@@ -0,0 +1 @@
+rootProject.name = 'rest-service'
diff --git a/org.eclipse.jdt.ls.tests/projects/gradle/nameconflict2/initial/build.gradle b/org.eclipse.jdt.ls.tests/projects/gradle/nameconflict2/initial/build.gradle
new file mode 100644
index 0000000000..bf2ae703c9
--- /dev/null
+++ b/org.eclipse.jdt.ls.tests/projects/gradle/nameconflict2/initial/build.gradle
@@ -0,0 +1,16 @@
+plugins {
+	id 'java'
+}
+
+group = 'com.example'
+version = '0.0.1-SNAPSHOT'
+sourceCompatibility = '17'
+
+repositories {
+	mavenCentral()
+}
+
+dependencies {
+
+}
+
diff --git a/org.eclipse.jdt.ls.tests/projects/gradle/nameconflict2/initial/settings.gradle b/org.eclipse.jdt.ls.tests/projects/gradle/nameconflict2/initial/settings.gradle
new file mode 100644
index 0000000000..b75ef0f2d2
--- /dev/null
+++ b/org.eclipse.jdt.ls.tests/projects/gradle/nameconflict2/initial/settings.gradle
@@ -0,0 +1 @@
+rootProject.name = 'rest-service'
diff --git a/org.eclipse.jdt.ls.tests/src/org/eclipse/jdt/ls/core/internal/managers/GradleProjectImporterTest.java b/org.eclipse.jdt.ls.tests/src/org/eclipse/jdt/ls/core/internal/managers/GradleProjectImporterTest.java
index d96ced73ca..cc83328c03 100644
--- a/org.eclipse.jdt.ls.tests/src/org/eclipse/jdt/ls/core/internal/managers/GradleProjectImporterTest.java
+++ b/org.eclipse.jdt.ls.tests/src/org/eclipse/jdt/ls/core/internal/managers/GradleProjectImporterTest.java
@@ -636,6 +636,17 @@ public void testNameConflictProject() throws Exception {
 		assertIsGradleProject(subProject);
 	}
 
+	// https://github.com/eclipse-jdtls/eclipse.jdt.ls/issues/1743
+	@Test
+	public void testNameConflictProject2() throws Exception {
+		List<IProject> projects = importProjects("gradle/nameconflict2");
+		assertEquals(2, projects.size());
+		IProject project1 = WorkspaceHelper.getProject("rest-service-initial");
+		assertIsGradleProject(project1);
+		IProject project2 = WorkspaceHelper.getProject("rest-service-complete");
+		assertIsGradleProject(project2);
+	}
+
 	@Test
 	public void testAndroidProjectSupport() throws Exception {
 		try {