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OneDrive File Issues

Fix OneDrive Free Up Space Not Working (Files Still Use Disk Space)

Maira MehtabMaira Mehtab Sep 20, 2026 868 views

Question details

The user is unable to release local hard drive space using the OneDrive 'Free Up Space' feature for synced SharePoint and OneDrive folders.

Product
Microsoft OneDrive
Device & OS
Windows
Scenario
Managing local storage space by converting downloaded OneDrive files back to online-only via the Files On-Demand feature.
Observed behavior
Files display the cloud icon indicating they are online-only, but checking the folder Properties reveals that 'Size' and 'Size on Disk' are identical, meaning the files are still consuming local hard drive space.
Before you start

Ensure your Windows system is fully updated and temporarily pause OneDrive syncing before running any reset commands to prevent file conflicts during the troubleshooting process.

Solution 1Recommended

Reinstall OneDrive from the Official Release Notes Page

This resolves a known issue introduced in the July 2024 Windows Update where the sync client fails to properly report or release disk space.

Microsoft identified a bug in a recent Windows Update (2024-07) causing OneDrive's Files On-Demand to improperly handle disk space allocation. Reinstalling the client using the latest stable release directly from Microsoft's release notes page bypasses this bug.

1
Uninstall the Current OneDrive App

Open Windows Settings, go to 'Apps' > 'Installed apps', search for Microsoft OneDrive, and select 'Uninstall'.

2
Download the Latest Release

Navigate to the official Microsoft OneDrive release notes support page (support.microsoft.com) and download the latest Windows installer.

3
Install and Sign In

Run the downloaded executable to install the application, then sign back in with your Microsoft account to resume syncing.

Known Bug Fix: Reinstalling the app effectively clears out the corrupted update files from the 2024-07 patch and reinstates standard 'Free Up Space' functionality.
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Frequently Asked Questions

Why does OneDrive show a cloud icon but still take up space?

This occurs due to a sync caching error or an OS bug (like the July 2024 Windows update) where the file index fails to communicate with Windows Storage, keeping the local space allocated even after the file is removed from the drive.

How do I know if 'Free Up Space' actually worked?

Right-click the targeted file or folder and select 'Properties'. If 'Free Up Space' worked correctly, the 'Size on Disk' should read as 0 bytes or significantly less than the 'Size' value.

Will running the OneDrive reset command delete my files?

No. Using the %localappdata%\Microsoft\OneDrive\onedrive.exe /reset command only resets the application's configuration and forces it to rebuild its sync index. Your personal files remain untouched.

Should I use third-party cleanup tools to fix OneDrive storage?

It is not recommended. Third-party disk cleaners can aggressively delete vital system pointers or junction points used by OneDrive's Files On-Demand feature, which can cause permanent sync corruption.