diff --git a/.changeset/fix-svelte-element-hydration.md b/.changeset/fix-svelte-element-hydration.md
new file mode 100644
index 000000000000..916f6c5b43a9
--- /dev/null
+++ b/.changeset/fix-svelte-element-hydration.md
@@ -0,0 +1,5 @@
+---
+'svelte': patch
+---
+
+fix: handle svelte:element hydration within raw text elements
diff --git a/packages/svelte/src/internal/client/dom/blocks/svelte-element.js b/packages/svelte/src/internal/client/dom/blocks/svelte-element.js
index 6df020d2d7ba..c3ed5a5d588f 100644
--- a/packages/svelte/src/internal/client/dom/blocks/svelte-element.js
+++ b/packages/svelte/src/internal/client/dom/blocks/svelte-element.js
@@ -88,9 +88,13 @@ export function element(node, get_tag, is_svg, render_fn, get_namespace, locatio
 				assign_nodes(element, element);
 
 				if (render_fn) {
+					/** @type {Comment | null} */
+					var comment = null;
+
 					if (hydrating && is_raw_text_element(next_tag)) {
 						// prevent hydration glitches
-						element.append(document.createComment(''));
+						comment = document.createComment('');
+						element.append(comment);
 					}
 
 					// If hydrating, use the existing ssr comment as the anchor so that the
@@ -113,9 +117,15 @@ export function element(node, get_tag, is_svg, render_fn, get_namespace, locatio
 					// need to call `render_fn` in order to run actions etc. If the element
 					// contains children, it's a user error (which is warned on elsewhere)
 					// and the DOM will be silently discarded
-					render_fn(element, child_anchor);
+					try {
+						render_fn(element, child_anchor);
+					} finally {
+						if (comment !== null) {
+							comment.remove();
+						}
 
-					set_animation_effect_override(null);
+						set_animation_effect_override(null);
+					}
 				}
 
 				// we do this after calling `render_fn` so that child effects don't override `nodes.end`
diff --git a/packages/svelte/tests/hydration/samples/script/_expected.html b/packages/svelte/tests/hydration/samples/script/_expected.html
index b3a4d922196b..3a19aa3b9b8d 100644
--- a/packages/svelte/tests/hydration/samples/script/_expected.html
+++ b/packages/svelte/tests/hydration/samples/script/_expected.html
@@ -1 +1 @@
-<!--[--><!----><script>{}<!----></script><!----><!--]-->
+<!--[--><!----><script>{}</script><!----><!--]-->
diff --git a/packages/svelte/tests/runtime-runes/samples/svelte-element-style-hydration/_config.js b/packages/svelte/tests/runtime-runes/samples/svelte-element-style-hydration/_config.js
new file mode 100644
index 000000000000..66d32136fccc
--- /dev/null
+++ b/packages/svelte/tests/runtime-runes/samples/svelte-element-style-hydration/_config.js
@@ -0,0 +1,18 @@
+import { test } from '../../test';
+
+export default test({
+	mode: ['hydrate'],
+	html: '<div><style>body { color: red; }</style></div>',
+	test({ assert, target }) {
+		const style = target.querySelector('style');
+		assert.ok(style, 'style element should exist after hydration');
+		if (style) {
+			for (const child of Array.from(style.childNodes)) {
+				assert.ok(
+					child.nodeType !== 8, // Node.COMMENT_NODE
+					'style element should not contain comment nodes after hydration'
+				);
+			}
+		}
+	}
+});
diff --git a/packages/svelte/tests/runtime-runes/samples/svelte-element-style-hydration/main.svelte b/packages/svelte/tests/runtime-runes/samples/svelte-element-style-hydration/main.svelte
new file mode 100644
index 000000000000..70c0ae987156
--- /dev/null
+++ b/packages/svelte/tests/runtime-runes/samples/svelte-element-style-hydration/main.svelte
@@ -0,0 +1,8 @@
+<script>
+	let { tag = 'style' } = $props();
+	const css = 'body { color: red; }';
+</script>
+
+<div>
+	<svelte:element this={tag}>{css}</svelte:element>
+</div>