diff --git a/CHANGES b/CHANGES
index ed36526c..d77a1f50 100644
--- a/CHANGES
+++ b/CHANGES
@@ -3,6 +3,11 @@ Flask Changelog
 
 Here you can see the full list of changes between each Flask release.
 
+Version 0.5
+-----------
+
+Codename to be decided, release date to be announced.
+
 Version 0.4
 -----------
 
diff --git a/setup.py b/setup.py
index 96fc77ba..404fad32 100644
--- a/setup.py
+++ b/setup.py
@@ -50,7 +50,7 @@ def run_tests():
 
 setup(
     name='Flask',
-    version='0.4',
+    version='0.5',
     url='http://github.com/mitsuhiko/flask/',
     license='BSD',
     author='Armin Ronacher',