diff --git a/Gemfile b/Gemfile
index dd9ae369d6..3a66111629 100644
--- a/Gemfile
+++ b/Gemfile
@@ -6,7 +6,7 @@ git_source(:github) { |repo| "https://github.com/#{repo}.git" }
 ruby file: '.ruby-version'
 
 # Bundle edge Rails instead: gem 'rails', github: 'rails/rails'
-gem 'rails', '7.2.2'
+gem 'rails', '8.0.0'
 
 # Use PostgreSQL as the database for Active Record
 gem 'pg'
diff --git a/Gemfile.lock b/Gemfile.lock
index e49e6e28e1..1f141c97a7 100644
--- a/Gemfile.lock
+++ b/Gemfile.lock
@@ -54,46 +54,45 @@ GEM
   specs:
     aasm (5.5.0)
       concurrent-ruby (~> 1.0)
-    actioncable (7.2.2)
-      actionpack (= 7.2.2)
-      activesupport (= 7.2.2)
+    actioncable (8.0.0)
+      actionpack (= 8.0.0)
+      activesupport (= 8.0.0)
       nio4r (~> 2.0)
       websocket-driver (>= 0.6.1)
       zeitwerk (~> 2.6)
-    actionmailbox (7.2.2)
-      actionpack (= 7.2.2)
-      activejob (= 7.2.2)
-      activerecord (= 7.2.2)
-      activestorage (= 7.2.2)
-      activesupport (= 7.2.2)
+    actionmailbox (8.0.0)
+      actionpack (= 8.0.0)
+      activejob (= 8.0.0)
+      activerecord (= 8.0.0)
+      activestorage (= 8.0.0)
+      activesupport (= 8.0.0)
       mail (>= 2.8.0)
-    actionmailer (7.2.2)
-      actionpack (= 7.2.2)
-      actionview (= 7.2.2)
-      activejob (= 7.2.2)
-      activesupport (= 7.2.2)
+    actionmailer (8.0.0)
+      actionpack (= 8.0.0)
+      actionview (= 8.0.0)
+      activejob (= 8.0.0)
+      activesupport (= 8.0.0)
       mail (>= 2.8.0)
       rails-dom-testing (~> 2.2)
-    actionpack (7.2.2)
-      actionview (= 7.2.2)
-      activesupport (= 7.2.2)
+    actionpack (8.0.0)
+      actionview (= 8.0.0)
+      activesupport (= 8.0.0)
       nokogiri (>= 1.8.5)
-      racc
-      rack (>= 2.2.4, < 3.2)
+      rack (>= 2.2.4)
       rack-session (>= 1.0.1)
       rack-test (>= 0.6.3)
       rails-dom-testing (~> 2.2)
       rails-html-sanitizer (~> 1.6)
       useragent (~> 0.16)
-    actiontext (7.2.2)
-      actionpack (= 7.2.2)
-      activerecord (= 7.2.2)
-      activestorage (= 7.2.2)
-      activesupport (= 7.2.2)
+    actiontext (8.0.0)
+      actionpack (= 8.0.0)
+      activerecord (= 8.0.0)
+      activestorage (= 8.0.0)
+      activesupport (= 8.0.0)
       globalid (>= 0.6.0)
       nokogiri (>= 1.8.5)
-    actionview (7.2.2)
-      activesupport (= 7.2.2)
+    actionview (8.0.0)
+      activesupport (= 8.0.0)
       builder (~> 3.1)
       erubi (~> 1.11)
       rails-dom-testing (~> 2.2)
@@ -103,26 +102,26 @@ GEM
       activemodel (>= 4.1)
       case_transform (>= 0.2)
       jsonapi-renderer (>= 0.1.1.beta1, < 0.3)
-    activejob (7.2.2)
-      activesupport (= 7.2.2)
+    activejob (8.0.0)
+      activesupport (= 8.0.0)
       globalid (>= 0.3.6)
-    activemodel (7.2.2)
-      activesupport (= 7.2.2)
+    activemodel (8.0.0)
+      activesupport (= 8.0.0)
     activemodel-serializers-xml (1.0.2)
       activemodel (> 5.x)
       activesupport (> 5.x)
       builder (~> 3.1)
-    activerecord (7.2.2)
-      activemodel (= 7.2.2)
-      activesupport (= 7.2.2)
+    activerecord (8.0.0)
+      activemodel (= 8.0.0)
+      activesupport (= 8.0.0)
       timeout (>= 0.4.0)
-    activestorage (7.2.2)
-      actionpack (= 7.2.2)
-      activejob (= 7.2.2)
-      activerecord (= 7.2.2)
-      activesupport (= 7.2.2)
+    activestorage (8.0.0)
+      actionpack (= 8.0.0)
+      activejob (= 8.0.0)
+      activerecord (= 8.0.0)
+      activesupport (= 8.0.0)
       marcel (~> 1.0)
-    activesupport (7.2.2)
+    activesupport (8.0.0)
       base64
       benchmark (>= 0.3)
       bigdecimal
@@ -134,6 +133,7 @@ GEM
       minitest (>= 5.1)
       securerandom (>= 0.3)
       tzinfo (~> 2.0, >= 2.0.5)
+      uri (>= 0.13.1)
     addressable (2.8.7)
       public_suffix (>= 2.0.2, < 7.0)
     aes_key_wrap (1.1.0)
@@ -141,9 +141,9 @@ GEM
     ast (2.4.2)
     attr_extras (7.1.0)
     attr_required (1.0.2)
-    audited (5.7.0)
-      activerecord (>= 5.2, < 8.0)
-      activesupport (>= 5.2, < 8.0)
+    audited (5.8.0)
+      activerecord (>= 5.2, < 8.2)
+      activesupport (>= 5.2, < 8.2)
     awesome_print (1.9.2)
     base64 (0.2.0)
     benchmark (0.4.0)
@@ -517,20 +517,20 @@ GEM
     rackup (1.0.1)
       rack (< 3)
       webrick
-    rails (7.2.2)
-      actioncable (= 7.2.2)
-      actionmailbox (= 7.2.2)
-      actionmailer (= 7.2.2)
-      actionpack (= 7.2.2)
-      actiontext (= 7.2.2)
-      actionview (= 7.2.2)
-      activejob (= 7.2.2)
-      activemodel (= 7.2.2)
-      activerecord (= 7.2.2)
-      activestorage (= 7.2.2)
-      activesupport (= 7.2.2)
+    rails (8.0.0)
+      actioncable (= 8.0.0)
+      actionmailbox (= 8.0.0)
+      actionmailer (= 8.0.0)
+      actionpack (= 8.0.0)
+      actiontext (= 8.0.0)
+      actionview (= 8.0.0)
+      activejob (= 8.0.0)
+      activemodel (= 8.0.0)
+      activerecord (= 8.0.0)
+      activestorage (= 8.0.0)
+      activesupport (= 8.0.0)
       bundler (>= 1.15.0)
-      railties (= 7.2.2)
+      railties (= 8.0.0)
     rails-controller-testing (1.0.5)
       actionpack (>= 5.0.1.rc1)
       actionview (>= 5.0.1.rc1)
@@ -551,9 +551,9 @@ GEM
       rack
       railties (>= 5.1)
       semantic_logger (~> 4.16)
-    railties (7.2.2)
-      actionpack (= 7.2.2)
-      activesupport (= 7.2.2)
+    railties (8.0.0)
+      actionpack (= 8.0.0)
+      activesupport (= 8.0.0)
       irb (~> 1.13)
       rackup (>= 1.0.0)
       rake (>= 12.2)
@@ -638,8 +638,8 @@ GEM
     rubypants (0.7.1)
     rubyzip (2.3.2)
     safely_block (0.4.1)
-    schema_to_scaffold (0.8.2)
-      activesupport (~> 7)
+    schema_to_scaffold (0.8.0)
+      activesupport (>= 3.2.1)
     securerandom (0.3.2)
     selenium-webdriver (4.26.0)
       base64 (~> 0.2)
@@ -817,7 +817,7 @@ DEPENDENCIES
   puma (~> 6.5)
   pundit
   rack-cors
-  rails (= 7.2.2)
+  rails (= 8.0.0)
   rails-controller-testing
   rails-erd
   rails_semantic_logger
diff --git a/bin/setup b/bin/setup
index 508c67a1ed..b502db8ca1 100755
--- a/bin/setup
+++ b/bin/setup
@@ -1,9 +1,7 @@
 #!/usr/bin/env ruby
 require "fileutils"
 
-# path to your application root.
 APP_ROOT = File.expand_path("..", __dir__)
-APP_NAME = "manage-courses-backend"
 
 def system!(*args)
   system(*args, exception: true)
@@ -16,19 +14,22 @@ FileUtils.chdir APP_ROOT do
 
   puts "== Installing dependencies =="
   system("yarn install")
-  system! "gem install bundler --conservative"
   system("bundle check") || system!("bundle install")
 
+  # puts "\n== Copying sample files =="
+  # unless File.exist?("config/database.yml")
+  #   FileUtils.cp "config/database.yml.sample", "config/database.yml"
+  # end
+
   puts "\n== Preparing database =="
   system! "bin/rails db:prepare"
 
   puts "\n== Removing old logs and tempfiles =="
   system! "bin/rails log:clear tmp:clear"
 
-  puts "\n== Restarting application server =="
-  system! "bin/rails restart"
-
-  # puts "\n== Configuring puma-dev =="
-  # system "ln -nfs #{APP_ROOT} ~/.puma-dev/#{APP_NAME}"
-  # system "curl -Is https://#{APP_NAME}.test/up | head -n 1"
+  unless ARGV.include?("--skip-server")
+    puts "\n== Starting development server =="
+    STDOUT.flush # flush the output before exec(2) so that it displays
+    exec "bin/dev"
+  end
 end
diff --git a/config/application.rb b/config/application.rb
index 522280ab6f..d96a9df3eb 100644
--- a/config/application.rb
+++ b/config/application.rb
@@ -20,7 +20,7 @@
 module ManageCoursesBackend
   class Application < Rails::Application
     # Initialize configuration defaults for originally generated Rails version.
-    config.load_defaults 7.2
+    config.load_defaults 8.0
 
     # Please, add to the `ignore` list any other `lib` subdirectories that do
     # not contain `.rb` files, or that should not be reloaded or eager loaded.