diff --git a/haskell-collapse.el b/haskell-collapse.el
index 8a73fa38..2b408d58 100644
--- a/haskell-collapse.el
+++ b/haskell-collapse.el
@@ -46,6 +46,17 @@
     (= (point-at-eol)
        (progn (skip-chars-forward "[:blank:]") (point)))))
 
+(defun haskell-blank-lines-block (cmp dir indent)
+  "Return non-nil if sequence of blank lines in direction DIR fits given INDENT level."
+  (let ((initial-pos (point)))
+    (when (haskell-blank-line-p)
+      (while (and (zerop (forward-line dir))
+                  (haskell-blank-line-p)))
+      (unless (funcall cmp (current-indentation) indent)
+        (progn
+          (goto-char initial-pos)
+          nil)))))
+
 (defun haskell-indented-block ()
   "return (start-of-indentation . end-of-indentation)"
   (let ((cur-indent (current-indentation))
@@ -80,7 +91,7 @@ indentation if dir=-1"
     (let ((start-indent (current-indentation)))
       (progn
         (while (and (zerop (forward-line direction))
-                    (or (haskell-blank-line-p)
+                    (or (haskell-blank-lines-block comparison direction start-indent)
                         (funcall comparison (current-indentation) start-indent))))
         (when (= direction 1) (forward-line -1))
         (end-of-line)
diff --git a/tests/haskell-collapse-tests.el b/tests/haskell-collapse-tests.el
index e9e369de..8b2d64c3 100644
--- a/tests/haskell-collapse-tests.el
+++ b/tests/haskell-collapse-tests.el
@@ -84,7 +84,7 @@ indexCtx posts blogconfig =  listField \"posts\" (postCtx blogconfig) (return (t
   (should (test-haskell-indented-block
            haskell-code-block-1
            1
-           (lambda () (test-haskell-collapse-start-end 1 9)))))
+           (lambda () (test-haskell-collapse-start-end 1 8)))))
 
 (ert-deftest test-haskell-indented-block-2 ()
   (should (test-haskell-indented-block
@@ -97,7 +97,7 @@ indexCtx posts blogconfig =  listField \"posts\" (postCtx blogconfig) (return (t
   (should (test-haskell-indented-block
            haskell-code-block-1
            2
-           (lambda () (test-haskell-collapse-start-end 1 9)))))
+           (lambda () (test-haskell-collapse-start-end 1 8)))))
 
 (ert-deftest test-haskell-indented-block-4 ()
   (should (test-haskell-indented-block
@@ -121,4 +121,4 @@ indexCtx posts blogconfig =  listField \"posts\" (postCtx blogconfig) (return (t
   (should (test-haskell-indented-block
            haskell-code-block-3
            0
-           (lambda () (test-haskell-collapse-start-end 0 5)))))
+           (lambda () (test-haskell-collapse-start-end 0 2)))))