diff --git a/src/components/chat/hooks/useChatMessages.ts b/src/components/chat/hooks/useChatMessages.ts
index 1590c4af..82e7d9e1 100644
--- a/src/components/chat/hooks/useChatMessages.ts
+++ b/src/components/chat/hooks/useChatMessages.ts
@@ -7,6 +7,12 @@ import type { NormalizedMessage } from '../../../stores/useSessionStore';
 import type { ChatMessage, SubagentChildTool } from '../types/types';
 import { decodeHtmlEntities, unescapeWithMathProtection, formatUsageLimitText } from '../utils/chatFormatting';
 
+function formatToolResultContent(content: unknown): string {
+  const text = typeof content === 'string' ? content : JSON.stringify(content);
+  const toolUseErrorMatch = /^<tool_use_error>([\s\S]*)<\/tool_use_error>$/.exec(text.trim());
+  return toolUseErrorMatch ? toolUseErrorMatch[1] : text;
+}
+
 /**
  * Convert NormalizedMessage[] from the session store into ChatMessage[]
  * that the existing UI components expect.
@@ -20,7 +26,12 @@ export function normalizedToChatMessages(messages: NormalizedMessage[]): ChatMes
 
   // First pass: collect tool results for attachment
   const toolResultMap = new Map<string, NormalizedMessage>();
+  const toolUseIds = new Set<string>();
   for (const msg of messages) {
+    if (msg.kind === 'tool_use' && msg.toolId) {
+      toolUseIds.add(msg.toolId);
+    }
+
     if (msg.kind === 'tool_result' && msg.toolId) {
       toolResultMap.set(msg.toolId, msg);
     }
@@ -97,7 +108,7 @@ export function normalizedToChatMessages(messages: NormalizedMessage[]): ChatMes
 
         const toolResult = tr
           ? {
-              content: typeof tr.content === 'string' ? tr.content : JSON.stringify(tr.content),
+              content: formatToolResultContent(tr.content),
               isError: Boolean(tr.isError),
               toolUseResult: (tr as any).toolUseResult,
             }
@@ -191,8 +202,25 @@ export function normalizedToChatMessages(messages: NormalizedMessage[]): ChatMes
         break;
 
       // tool_result is handled via attachment to tool_use above
-      case 'tool_result':
+      case 'tool_result': {
+        if (msg.toolId && toolUseIds.has(msg.toolId)) {
+          break;
+        }
+
+        const content = formatToolResultContent(msg.content || '');
+        if (!content.trim()) {
+          break;
+        }
+
+        converted.push({
+          type: msg.isError ? 'error' : 'assistant',
+          content,
+          timestamp: msg.timestamp,
+          toolId: msg.toolId,
+          ...sharedMetadata,
+        });
         break;
+      }
 
       default:
         break;
diff --git a/src/components/chat/tools/configs/toolConfigs.ts b/src/components/chat/tools/configs/toolConfigs.ts
index fbb3f2d4..6a34b2cd 100644
--- a/src/components/chat/tools/configs/toolConfigs.ts
+++ b/src/components/chat/tools/configs/toolConfigs.ts
@@ -564,11 +564,15 @@ export function shouldHideToolResult(toolName: string, toolResult: any): boolean
 
   if (!config.result) return false;
 
+  // Hidden/success-only configs suppress noisy successful output, but errors
+  // still need to be visible so failed tool calls are diagnosable.
+  if (toolResult?.isError) return false;
+
   // Always hidden
   if (config.result.hidden) return true;
 
   // Hide on success only
-  if (config.result.hideOnSuccess && toolResult && !toolResult.isError) {
+  if (config.result.hideOnSuccess && toolResult) {
     return true;
   }
 
diff --git a/src/components/chat/view/subcomponents/MessageComponent.tsx b/src/components/chat/view/subcomponents/MessageComponent.tsx
index c40e0b94..ba69bf90 100644
--- a/src/components/chat/view/subcomponents/MessageComponent.tsx
+++ b/src/components/chat/view/subcomponents/MessageComponent.tsx
@@ -1,5 +1,6 @@
 import { memo, useEffect, useMemo, useRef, useState } from 'react';
 import { useTranslation } from 'react-i18next';
+
 import SessionProviderLogo from '../../../llm-logo-provider/SessionProviderLogo';
 import type {
   ChatMessage,
@@ -8,10 +9,10 @@ import type {
   Provider,
 } from '../../types/types';
 import { formatUsageLimitText } from '../../utils/chatFormatting';
-import { getClaudePermissionSuggestion } from '../../utils/chatPermissions';
 import type { Project } from '../../../../types/app';
 import { ToolRenderer, shouldHideToolResult } from '../../tools';
 import { Reasoning, ReasoningTrigger, ReasoningContent } from '../../../../shared/view/ui';
+
 import { Markdown } from './Markdown';
 import MessageCopyControl from './MessageCopyControl';
 
@@ -41,10 +42,9 @@ type InteractiveOption = {
   isSelected: boolean;
 };
 
-type PermissionGrantState = 'idle' | 'granted' | 'error';
 const COPY_HIDDEN_TOOL_NAMES = new Set(['Bash', 'Edit', 'Write', 'ApplyPatch']);
 
-const MessageComponent = memo(({ message, prevMessage, createDiff, onFileOpen, onShowSettings, onGrantToolPermission, autoExpandTools, showRawParameters, showThinking, selectedProject, provider }: MessageComponentProps) => {
+const MessageComponent = memo(({ message, prevMessage, createDiff, onFileOpen, autoExpandTools, showRawParameters, showThinking, selectedProject, provider }: MessageComponentProps) => {
   const { t } = useTranslation('chat');
   const isGrouped = prevMessage && prevMessage.type === message.type &&
     ((prevMessage.type === 'assistant') ||
@@ -53,8 +53,6 @@ const MessageComponent = memo(({ message, prevMessage, createDiff, onFileOpen, o
       (prevMessage.type === 'error'));
   const messageRef = useRef<HTMLDivElement | null>(null);
   const [isExpanded, setIsExpanded] = useState(false);
-  const permissionSuggestion = getClaudePermissionSuggestion(message, provider);
-  const [permissionGrantState, setPermissionGrantState] = useState<PermissionGrantState>('idle');
   const userCopyContent = String(message.content || '');
   const formattedMessageContent = useMemo(
     () => formatUsageLimitText(String(message.content || '')),
@@ -73,10 +71,6 @@ const MessageComponent = memo(({ message, prevMessage, createDiff, onFileOpen, o
     !message.isThinking;
 
 
-  useEffect(() => {
-    setPermissionGrantState('idle');
-  }, [permissionSuggestion?.entry, message.toolId]);
-
   useEffect(() => {
     const node = messageRef.current;
     if (!autoExpandTools || !node || !message.isToolUse) return;
@@ -241,55 +235,6 @@ const MessageComponent = memo(({ message, prevMessage, createDiff, onFileOpen, o
                         <Markdown className="prose prose-sm prose-red max-w-none dark:prose-invert">
                           {String(message.toolResult.content || '')}
                         </Markdown>
-                        {permissionSuggestion && (
-                          <div className="mt-4 border-t border-red-200/60 pt-3 dark:border-red-800/60">
-                            <div className="flex flex-wrap items-center gap-2">
-                              <button
-                                type="button"
-                                onClick={() => {
-                                  if (!onGrantToolPermission) return;
-                                  const result = onGrantToolPermission(permissionSuggestion);
-                                  if (result?.success) {
-                                    setPermissionGrantState('granted');
-                                  } else {
-                                    setPermissionGrantState('error');
-                                  }
-                                }}
-                                disabled={permissionSuggestion.isAllowed || permissionGrantState === 'granted'}
-                                className={`inline-flex items-center gap-2 rounded-md border px-3 py-1.5 text-xs font-medium transition-colors ${permissionSuggestion.isAllowed || permissionGrantState === 'granted'
-                                  ? 'cursor-default border-green-300/70 bg-green-100 text-green-800 dark:border-green-800/60 dark:bg-green-900/30 dark:text-green-200'
-                                  : 'border-red-300/70 bg-white/80 text-red-700 hover:bg-white dark:border-red-800/60 dark:bg-gray-900/40 dark:text-red-200 dark:hover:bg-gray-900/70'
-                                  }`}
-                              >
-                                {permissionSuggestion.isAllowed || permissionGrantState === 'granted'
-                                  ? t('permissions.added')
-                                  : t('permissions.grant', { tool: permissionSuggestion.toolName })}
-                              </button>
-                              {onShowSettings && (
-                                <button
-                                  type="button"
-                                  onClick={(e) => { e.stopPropagation(); onShowSettings(); }}
-                                  className="text-xs text-red-700 underline hover:text-red-800 dark:text-red-200 dark:hover:text-red-100"
-                                >
-                                  {t('permissions.openSettings')}
-                                </button>
-                              )}
-                            </div>
-                            <div className="mt-2 text-xs text-red-700/90 dark:text-red-200/80">
-                              {t('permissions.addTo', { entry: permissionSuggestion.entry })}
-                            </div>
-                            {permissionGrantState === 'error' && (
-                              <div className="mt-2 text-xs text-red-700 dark:text-red-200">
-                                {t('permissions.error')}
-                              </div>
-                            )}
-                            {(permissionSuggestion.isAllowed || permissionGrantState === 'granted') && (
-                              <div className="mt-2 text-xs text-green-700 dark:text-green-200">
-                                {t('permissions.retry')}
-                              </div>
-                            )}
-                          </div>
-                        )}
                       </div>
                     </div>
                   ) : (