diff --git a/gitlab/exceptions.py b/gitlab/exceptions.py
index 6b8647152..54f9b8cd0 100644
--- a/gitlab/exceptions.py
+++ b/gitlab/exceptions.py
@@ -107,6 +107,10 @@ class GitlabTransferProjectError(GitlabOperationError):
     pass
 
 
+class GitlabGroupTransferError(GitlabOperationError):
+    pass
+
+
 class GitlabProjectDeployKeyError(GitlabOperationError):
     pass
 
diff --git a/gitlab/v4/objects/groups.py b/gitlab/v4/objects/groups.py
index 453548b94..933f48c64 100644
--- a/gitlab/v4/objects/groups.py
+++ b/gitlab/v4/objects/groups.py
@@ -95,12 +95,34 @@ def transfer_project(self, project_id: int, **kwargs: Any) -> None:
         path = f"/groups/{self.id}/projects/{project_id}"
         self.manager.gitlab.http_post(path, **kwargs)
 
+    @cli.register_custom_action("Group", tuple(), ("group_id",))
+    @exc.on_http_error(exc.GitlabGroupTransferError)
+    def transfer(self, group_id: Optional[int] = None, **kwargs: Any) -> None:
+        """Transfer the group to a new parent group or make it a top-level group.
+
+        Requires GitLab ≥14.6.
+
+        Args:
+            group_id: ID of the new parent group. When not specified,
+                the group to transfer is instead turned into a top-level group.
+            **kwargs: Extra options to send to the server (e.g. sudo)
+
+        Raises:
+            GitlabAuthenticationError: If authentication is not correct
+            GitlabGroupTransferError: If the group could not be transferred
+        """
+        path = f"/groups/{self.encoded_id}/transfer"
+        post_data = {}
+        if group_id is not None:
+            post_data["group_id"] = group_id
+        self.manager.gitlab.http_post(path, post_data=post_data, **kwargs)
+
     @cli.register_custom_action("Group", ("scope", "search"))
     @exc.on_http_error(exc.GitlabSearchError)
     def search(
         self, scope: str, search: str, **kwargs: Any
     ) -> Union[gitlab.GitlabList, List[Dict[str, Any]]]:
-        """Search the group resources matching the provided string.'
+        """Search the group resources matching the provided string.
 
         Args:
             scope: Scope of the search
diff --git a/tests/functional/api/test_groups.py b/tests/functional/api/test_groups.py
index 584ea8355..b61305569 100644
--- a/tests/functional/api/test_groups.py
+++ b/tests/functional/api/test_groups.py
@@ -233,17 +233,19 @@ def test_group_hooks(group):
     hook.delete()
 
 
-@pytest.mark.skip(reason="Pending #1807")
 def test_group_transfer(gl, group):
-    transfer_group = gl.groups.create({"name": "transfer-test-group"})
-    assert group.namespace["path"] != group.full_path
+    transfer_group = gl.groups.create(
+        {"name": "transfer-test-group", "path": "transfer-test-group"}
+    )
+    transfer_group = gl.groups.get(transfer_group.id)
+    assert transfer_group.parent_id != group.id
 
     transfer_group.transfer(group.id)
 
-    transferred_group = gl.projects.get(transfer_group.id)
-    assert transferred_group.namespace["path"] == group.full_path
+    transferred_group = gl.groups.get(transfer_group.id)
+    assert transferred_group.parent_id == group.id
 
     transfer_group.transfer()
 
-    transferred_group = gl.projects.get(transfer_group.id)
+    transferred_group = gl.groups.get(transfer_group.id)
     assert transferred_group.path == transferred_group.full_path
diff --git a/tests/functional/fixtures/.env b/tests/functional/fixtures/.env
index 30abd5caf..bcfd35713 100644
--- a/tests/functional/fixtures/.env
+++ b/tests/functional/fixtures/.env
@@ -1,2 +1,2 @@
 GITLAB_IMAGE=gitlab/gitlab-ce
-GITLAB_TAG=14.5.2-ce.0
+GITLAB_TAG=14.6.2-ce.0
diff --git a/tests/unit/objects/test_groups.py b/tests/unit/objects/test_groups.py
index b3e753e4b..2c91d38d8 100644
--- a/tests/unit/objects/test_groups.py
+++ b/tests/unit/objects/test_groups.py
@@ -99,13 +99,13 @@ def resp_create_import(accepted_content):
 def resp_transfer_group():
     with responses.RequestsMock() as rsps:
         rsps.add(
-            method=responses.PUT,
+            method=responses.POST,
             url="http://localhost/api/v4/groups/1/transfer",
             json=content,
             content_type="application/json",
             status=200,
             match=[
-                responses.matchers.json_params_matcher({"namespace": "test-namespace"})
+                responses.matchers.json_params_matcher({"group_id": "test-namespace"})
             ],
         )
         yield rsps
@@ -170,7 +170,6 @@ def test_refresh_group_import_status(group, resp_groups):
     assert group_import.import_status == "finished"
 
 
-@pytest.mark.skip("Pending #1807")
 def test_transfer_group(gl, resp_transfer_group):
     group = gl.groups.get(1, lazy=True)
     group.transfer("test-namespace")