You'll noticeTier: how much it should matter to you
2Useful: my rating, 1 to 5
1Signal: worth watching, 1 to 5
SettingsArea: what it touches
ImprovementsKind: in v2.1.314,
ImprovementsSection of the release
What
A folder's settings files can set environment variables, which are named values that change how programs behave. Some sessions cannot show the question asking whether you trust a folder. In those sessions Claude Code drops most of these variables, and it now shows a one-time warning listing the ones it ignored.
Only a short list of variables is still allowed, such as DISABLE_TELEMETRY=1. Outside the stricter mode, values that pass Claude Code's shared check for safe values are also allowed.
Why
Before, these variables were dropped silently, which made it hard to see why a project's environment settings had no effect, for example on self-hosted machines that run Claude Code automatically. The warning now says which ones were ignored.
