diff --git a/src/nvim/highlight.c b/src/nvim/highlight.c
index 7d91f38d56..6c1f314339 100644
--- a/src/nvim/highlight.c
+++ b/src/nvim/highlight.c
@@ -794,11 +794,11 @@ Dictionary hlattrs2dict(HlAttrs ae, bool use_rgb)
       PUT(hl, "special", INTEGER_OBJ(ae.rgb_sp_color));
     }
   } else {
-    if (cterm_normal_fg_color != ae.cterm_fg_color && ae.cterm_fg_color != 0) {
+    if (ae.cterm_fg_color != 0) {
       PUT(hl, "foreground", INTEGER_OBJ(ae.cterm_fg_color - 1));
     }
 
-    if (cterm_normal_bg_color != ae.cterm_bg_color && ae.cterm_bg_color != 0) {
+    if (ae.cterm_bg_color != 0) {
       PUT(hl, "background", INTEGER_OBJ(ae.cterm_bg_color - 1));
     }
   }
diff --git a/src/nvim/highlight_defs.h b/src/nvim/highlight_defs.h
index e0ee649013..0cbc3454be 100644
--- a/src/nvim/highlight_defs.h
+++ b/src/nvim/highlight_defs.h
@@ -110,7 +110,8 @@ typedef enum {
   HLF_NFLOAT,     // Floating window
   HLF_MSG,        // Message area
   HLF_BORDER,     // Floating window border
-  HLF_COUNT,  // MUST be the last one
+  HLF_CU,         // Cursor
+  HLF_COUNT,      // MUST be the last one
 } hlf_T;
 
 EXTERN const char *hlf_names[] INIT(= {
@@ -170,6 +171,7 @@ EXTERN const char *hlf_names[] INIT(= {
   [HLF_NFLOAT] = "NormalFloat",
   [HLF_MSG] = "MsgArea",
   [HLF_BORDER] = "FloatBorder",
+  [HLF_CU] = "Cursor",
 });
 
 
diff --git a/src/nvim/highlight_group.c b/src/nvim/highlight_group.c
index 3092aaefab..7408fbfdc1 100644
--- a/src/nvim/highlight_group.c
+++ b/src/nvim/highlight_group.c
@@ -735,6 +735,8 @@ void set_hl_group(int id, HlAttrs attrs, Dict(highlight) *dict, int link_id)
   g->sg_script_ctx = current_sctx;
   g->sg_script_ctx.sc_lnum += sourcing_lnum;
 
+  g->sg_attr = hl_get_syn_attr(0, id, attrs);
+
   // 'Normal' is special
   if (STRCMP(g->sg_name_u, "NORMAL") == 0) {
     cterm_normal_fg_color = g->sg_cterm_fg;
@@ -744,8 +746,6 @@ void set_hl_group(int id, HlAttrs attrs, Dict(highlight) *dict, int link_id)
     normal_sp = g->sg_rgb_sp;
     ui_default_colors_set();
   } else {
-    g->sg_attr = hl_get_syn_attr(0, id, attrs);
-
     // a cursor style uses this syn_id, make sure its attribute is updated.
     if (cursor_mode_uses_syn_id(id)) {
       ui_mode_info_set();
diff --git a/test/functional/api/highlight_spec.lua b/test/functional/api/highlight_spec.lua
index a2f8353868..8235374f22 100644
--- a/test/functional/api/highlight_spec.lua
+++ b/test/functional/api/highlight_spec.lua
@@ -133,6 +133,13 @@ describe('API: highlight',function()
     eq({ underline = true, standout = true, },
        meths.get_hl_by_name('cursorline', 0));
 
+    -- Test cterm & Normal values. #18024 (tail) & #18980
+    -- Ensure Normal, and groups that match Normal return their fg & bg cterm values
+    meths.set_hl(0, 'Normal', {ctermfg = 17, ctermbg = 213})
+    meths.set_hl(0, 'NotNormal', {ctermfg = 17, ctermbg = 213})
+    -- Note colors are "cterm" values, not rgb-as-ints
+    eq({foreground = 17, background = 213}, nvim("get_hl_by_name", 'Normal', false))
+    eq({foreground = 17, background = 213}, nvim("get_hl_by_name", 'NotNormal', false))
   end)
 
   it('nvim_get_hl_id_by_name', function()
@@ -337,4 +344,10 @@ describe("API: set highlight", function()
       exec_capture('highlight Test_hl3'))
 
   end)
+
+  it ("correctly sets 'Normal' internal properties", function()
+    -- Normal has some special handling internally. #18024
+    meths.set_hl(0, 'Normal', {fg='#000083', bg='#0000F3'})
+    eq({foreground = 131, background = 243}, nvim("get_hl_by_name", 'Normal', true))
+  end)
 end)
diff --git a/test/functional/ui/cursor_spec.lua b/test/functional/ui/cursor_spec.lua
index 4c51547e2c..121fe182ef 100644
--- a/test/functional/ui/cursor_spec.lua
+++ b/test/functional/ui/cursor_spec.lua
@@ -212,7 +212,7 @@ describe('ui/cursor', function()
         if m.blinkwait then m.blinkwait = 700 end
       end
       if m.hl_id then
-          m.hl_id = 61
+          m.hl_id = 57
           m.attr = {background = Screen.colors.DarkGray}
       end
       if m.id_lm then m.id_lm = 62 end