diff --git a/app/assets/javascripts/project_find_file.js b/app/assets/javascripts/project_find_file.js
index 60d3d83a4b2..765cb868f80 100644
--- a/app/assets/javascripts/project_find_file.js
+++ b/app/assets/javascripts/project_find_file.js
@@ -113,7 +113,7 @@ export default class ProjectFindFile {
       if (searchText) {
         matches = fuzzaldrinPlus.match(filePath, searchText);
       }
-      blobItemUrl = this.options.blobUrlTemplate + '/' + filePath;
+      blobItemUrl = this.options.blobUrlTemplate + '/' + encodeURIComponent(filePath);
       html = ProjectFindFile.makeHtml(filePath, matches, blobItemUrl);
       results.push(this.element.find('.tree-table > tbody').append(html));
     }
diff --git a/changelogs/unreleased/62055-find-file-links-encoding.yml b/changelogs/unreleased/62055-find-file-links-encoding.yml
new file mode 100644
index 00000000000..20a359a9d64
--- /dev/null
+++ b/changelogs/unreleased/62055-find-file-links-encoding.yml
@@ -0,0 +1,5 @@
+---
+title: Fix encoding of special characters in "Find File"
+merge_request: 31311
+author: Jan Beckmann
+type: fixed
diff --git a/spec/frontend/project_find_file_spec.js b/spec/frontend/project_find_file_spec.js
new file mode 100644
index 00000000000..8102033139f
--- /dev/null
+++ b/spec/frontend/project_find_file_spec.js
@@ -0,0 +1,77 @@
+import MockAdapter from 'axios-mock-adapter';
+import $ from 'jquery';
+import ProjectFindFile from '~/project_find_file';
+import axios from '~/lib/utils/axios_utils';
+import { TEST_HOST } from 'helpers/test_constants';
+
+const BLOB_URL_TEMPLATE = `${TEST_HOST}/namespace/project/blob/master`;
+const FILE_FIND_URL = `${TEST_HOST}/namespace/project/files/master?format=json`;
+const FIND_TREE_URL = `${TEST_HOST}/namespace/project/tree/master`;
+const TEMPLATE = `<div class="file-finder-holder tree-holder js-file-finder" data-blob-url-template="${BLOB_URL_TEMPLATE}" data-file-find-url="${FILE_FIND_URL}"  data-find-tree-url="${FIND_TREE_URL}">
+  <input class="file-finder-input" id="file_find" />
+  <div class="tree-content-holder">
+    <div class="table-holder">
+      <table class="files-slider tree-table">
+        <tbody />
+      </table>
+    </div>
+  </div>
+</div>`;
+
+describe('ProjectFindFile', () => {
+  let element;
+  let mock;
+
+  const getProjectFindFileInstance = () =>
+    new ProjectFindFile(element, {
+      url: FILE_FIND_URL,
+      treeUrl: FIND_TREE_URL,
+      blobUrlTemplate: BLOB_URL_TEMPLATE,
+    });
+
+  const findFiles = () =>
+    element
+      .find('.tree-table tr')
+      .toArray()
+      .map(el => ({
+        text: el.textContent,
+        href: el.querySelector('a').href,
+      }));
+
+  beforeEach(() => {
+    // Create a mock adapter for stubbing axios API requests
+    mock = new MockAdapter(axios);
+
+    element = $(TEMPLATE);
+  });
+
+  afterEach(() => {
+    // Reset the mock adapter
+    mock.restore();
+  });
+
+  it('loads and renders elements from remote server', done => {
+    const files = [
+      'fileA.txt',
+      'fileB.txt',
+      'fi#leC.txt',
+      'folderA/fileD.txt',
+      'folder#B/fileE.txt',
+      'folde?rC/fil#F.txt',
+    ];
+    mock.onGet(FILE_FIND_URL).replyOnce(200, files);
+
+    getProjectFindFileInstance(); // This triggers a load / axios call + subsequent render in the constructor
+
+    setImmediate(() => {
+      expect(findFiles()).toEqual(
+        files.map(text => ({
+          text,
+          href: `${BLOB_URL_TEMPLATE}/${encodeURIComponent(text)}`,
+        })),
+      );
+
+      done();
+    });
+  });
+});