diff --git a/lib/config/configure.js b/lib/config/configure.js
index 5386a7e..3e4b720 100644
--- a/lib/config/configure.js
+++ b/lib/config/configure.js
@@ -91,7 +91,7 @@ module.exports = _.curry((rascalConfig, next) => {
     } = new URL(connectionString);
     const options = Array.from(searchParams).reduce((attributes, entry) => ({ ...attributes, [entry[0]]: entry[1] }), {});
     return {
-      protocol, hostname, port, user, password, vhost, options,
+      protocol, hostname: decodeURIComponent(hostname), port, user: decodeURIComponent(user), password: decodeURIComponent(password), vhost: decodeURIComponent(vhost), options,
     };
   }
 
diff --git a/test/config.tests.js b/test/config.tests.js
index 4ec4bec..ad7808e 100644
--- a/test/config.tests.js
+++ b/test/config.tests.js
@@ -80,6 +80,23 @@ describe('Configuration', () => {
         );
       });
 
+      it('should support encoded urls', () => {
+        // See https://www.rabbitmq.com/docs/uri-spec#appendix-a-examples
+        configure(
+          {
+            vhosts: {
+              v1: {
+                connection: 'amqp://encoded%23user:encoded%23password@ho%61stname:9000/v%2fhost?heartbeat=10&channelMax=100',
+              },
+            },
+          },
+          (err, config) => {
+            assert.ifError(err);
+            assert.strictEqual(config.vhosts.v1.connections[0].url, 'amqp://encoded%23user:encoded%23password@hoastname:9000/v/host?heartbeat=10&channelMax=100');
+          },
+        );
+      });
+
       it('should report invalid urls', () => {
         configure(
           {