diff --git a/atest/robot/variables/variable_types.robot b/atest/robot/variables/variable_types.robot
index 11431066102..f92d9c94b2e 100644
--- a/atest/robot/variables/variable_types.robot
+++ b/atest/robot/variables/variable_types.robot
@@ -18,39 +18,39 @@ Variable section: With invalid values or types
 Variable section: Invalid syntax
     Error In File
     ...    3    variables/variable_types.robot
-    ...    17    Setting variable '\${BAD_TYPE: hahaa}' failed: Unrecognized type 'hahaa'.
+    ...    18    Setting variable '\${BAD_TYPE: hahaa}' failed: Unrecognized type 'hahaa'.
     Error In File
-    ...    4    variables/variable_types.robot    19
+    ...    4    variables/variable_types.robot    20
     ...    Setting variable '\@{BAD_LIST_TYPE: xxxxx}' failed: Unrecognized type 'xxxxx'.
     Error In File
-    ...    5    variables/variable_types.robot    21
+    ...    5    variables/variable_types.robot    22
     ...    Setting variable '\&{BAD_DICT_TYPE: aa=bb}' failed: Unrecognized type 'aa'.
     Error In File
-    ...    6    variables/variable_types.robot    22
+    ...    6    variables/variable_types.robot    23
     ...    Setting variable '\&{INVALID_DICT_TYPE1: int=list[int}' failed:
     ...    Parsing type 'dict[int, list[int]' failed:
     ...    Error at end: Closing ']' missing.
     ...    pattern=False
     Error In File
-    ...    7    variables/variable_types.robot    23
+    ...    7    variables/variable_types.robot    24
     ...    Setting variable '\&{INVALID_DICT_TYPE2: int=listint]}' failed:
     ...    Parsing type 'dict[int, listint]]' failed:
     ...    Error at index 18: Extra content after 'dict[int, listint]'.
     ...    pattern=False
     Error In File
-    ...    8    variables/variable_types.robot    20
+    ...    9    variables/variable_types.robot    21
     ...    Setting variable '\&{BAD_DICT_VALUE: str=int}' failed:
     ...    Value '{'x': 'a', 'y': 'b'}' (DotDict) cannot be converted to dict[str, int]:
     ...    Item 'x' got value 'a' that cannot be converted to integer.
     ...    pattern=False
     Error In File
-    ...    9    variables/variable_types.robot    18
+    ...    10    variables/variable_types.robot    19
     ...    Setting variable '\@{BAD_LIST_VALUE: int}' failed:
     ...    Value '['1', 'hahaa']' (list) cannot be converted to list[int]:
     ...    Item '1' got value 'hahaa' that cannot be converted to integer.
     ...    pattern=False
     Error In File
-    ...    10    variables/variable_types.robot    16
+    ...    11    variables/variable_types.robot    17
     ...    Setting variable '\${BAD_VALUE: int}' failed: Value 'not int' cannot be converted to integer.
     ...    pattern=False
 
@@ -75,7 +75,7 @@ VAR syntax: Type can not be set as variable
 VAR syntax: Type syntax is not resolved from variable
     Check Test Case    ${TESTNAME}
 
-Vvariable assignment
+Variable assignment
     Check Test Case    ${TESTNAME}
 
 Variable assignment: List
@@ -99,6 +99,9 @@ Variable assignment: Invalid type for list
 Variable assignment: Invalid variable type for dictionary
     Check Test Case    ${TESTNAME}
 
+Variable assignment: No type when using variable
+    Check Test Case    ${TESTNAME}
+
 Variable assignment: Multiple
     Check Test Case    ${TESTNAME}
 
@@ -136,7 +139,7 @@ User keyword: Invalid value
 User keyword: Invalid type
     Check Test Case    ${TESTNAME}
     Error In File
-    ...    0    variables/variable_types.robot    333
+    ...    0    variables/variable_types.robot    355
     ...    Creating keyword 'Bad type' failed:
     ...    Invalid argument specification: Invalid argument '\${arg: bad}':
     ...    Unrecognized type 'bad'.
@@ -144,7 +147,7 @@ User keyword: Invalid type
 User keyword: Invalid assignment with kwargs k_type=v_type declaration
     Check Test Case    ${TESTNAME}
     Error In File
-    ...    1    variables/variable_types.robot    337
+    ...    1    variables/variable_types.robot    359
     ...    Creating keyword 'Kwargs does not support key=value type syntax' failed:
     ...    Invalid argument specification: Invalid argument '\&{kwargs: int=float}':
     ...    Unrecognized type 'int=float'.
@@ -155,6 +158,17 @@ Embedded arguments
 Embedded arguments: With variables
     Check Test Case    ${TESTNAME}
 
+Embedded arguments: Invalid type in library
+    Check Test Case    ${TESTNAME}
+    Error in library
+    ...    Embedded
+    ...    Adding keyword 'bad_type' failed:
+    ...    Invalid embedded argument '\${value: bad}': Unrecognized type 'bad'.
+    ...    index=8
+
+Embedded arguments: Type only in embedded
+    Check Test Case    ${TESTNAME}
+
 Embedded arguments: Invalid value
     Check Test Case    ${TESTNAME}
 
@@ -164,7 +178,7 @@ Embedded arguments: Invalid value from variable
 Embedded arguments: Invalid type
     Check Test Case    ${TESTNAME}
     Error In File
-    ...    2    variables/variable_types.robot    357
+    ...    2    variables/variable_types.robot    379
     ...    Creating keyword 'Embedded invalid type \${x: invalid}' failed:
     ...    Invalid embedded argument '\${x: invalid}':
     ...    Unrecognized type 'invalid'.
diff --git a/atest/testdata/test_libraries/Embedded.py b/atest/testdata/test_libraries/Embedded.py
index 2b9230c31c4..249c992368f 100644
--- a/atest/testdata/test_libraries/Embedded.py
+++ b/atest/testdata/test_libraries/Embedded.py
@@ -13,3 +13,11 @@ def called_times(self, times):
             raise AssertionError(
                 f"Called {self.called} time(s), expected {times} time(s)."
             )
+
+    @keyword("Embedded invalid type in library ${value: bad}")
+    def bad_type(self, value: str):
+        return value
+
+    @keyword("Type only in embedded ${value: int}")
+    def no_type(self, value):
+        return value
diff --git a/atest/testdata/variables/variable_types.robot b/atest/testdata/variables/variable_types.robot
index c6ccd22cef6..c4d142abe13 100644
--- a/atest/testdata/variables/variable_types.robot
+++ b/atest/testdata/variables/variable_types.robot
@@ -1,4 +1,5 @@
 *** Settings ***
+Library         ../test_libraries/Embedded.py
 Variables       extended_variables.py
 
 
@@ -75,6 +76,9 @@ VAR syntax
     Should be equal    ${x}    123    type=int
     VAR    ${x: int}    1    2    3    separator=
     Should be equal    ${x}    123    type=int
+    VAR    ${name}    x
+    VAR    ${${name}: int}    432
+    Should be equal    ${x}    432    type=int
 
 VAR syntax: List
     VAR    ${x: list}    [1, "2", 3]
@@ -89,6 +93,8 @@ VAR syntax: Dictionary
     Should be equal    ${x}    {"1": 2, "3": 4}    type=dict
     VAR    &{x: int=str}    3=4    5=6
     Should be equal    ${x}    {3: "4", 5: "6"}    type=dict
+    VAR    &{x: int = str}    100=200    300=400
+    Should be equal    ${x}    {100: "200", 300: "400"}    type=dict
     VAR    &{x: int=dict[str, float]}    30={"key": 1}    40={"key": 2.3}
     Should be equal    ${x}    {30: {"key": 1.0}, 40: {"key": 2.3}}    type=dict
 
@@ -115,7 +121,7 @@ VAR syntax: Type syntax is not resolved from variable
     VAR    ${${type}}    4242
     Should be equal    ${tidii: int}    4242    type=str
 
-Vvariable assignment
+Variable assignment
     ${x: int} =    Set Variable    42
     Should be equal    ${x}    42    type=int
 
@@ -162,6 +168,13 @@ Variable assignment: Invalid variable type for dictionary
     [Documentation]    FAIL    Unrecognized type 'int=str'.
     ${x: int=str} =    Create dictionary    1=2    3=4
 
+Variable assignment: No type when using variable
+    [Documentation]    FAIL
+    ...    Resolving variable '\${x: str}' failed: SyntaxError: invalid syntax (<string>, line 1)
+    ${x: date}    Set Variable    2025-04-30
+    Should be equal    ${x}    2025-04-30    type=date
+    Should be equal    ${x: str}    2025-04-30    type=str
+
 Variable assignment: Multiple
     ${a: int}    ${b: float} =    Create List    1    2.3
     Should be equal    ${a}    1     type=int
@@ -258,7 +271,6 @@ User keyword: Invalid assignment with kwargs k_type=v_type declaration
     Kwargs does not support key=value type syntax
 
 Embedded arguments
-    [Tags]    kala
     Embedded 1 and 2
     Embedded type 1 and no type 2
     Embedded type with custom regular expression 111
@@ -268,6 +280,16 @@ Embedded arguments: With variables
     VAR    ${y}    ${2.0}
     Embedded ${x} and ${y}
 
+Embedded arguments: Invalid type in library
+    [Documentation]    FAIL    No keyword with name 'Embedded Invalid type in library 111' found.
+    Embedded Invalid type in library 111
+
+Embedded arguments: Type only in embedded
+    [Documentation]    FAIL
+    ...    Embedded arguments do not support type information with library keywords: \
+    ...    'Embedded.Type only in embedded \${value: int}'. Use normal type hints instead.
+    Type only in embedded 987
+
 Embedded arguments: Invalid value
     [Documentation]    FAIL    ValueError: Argument 'kala' cannot be converted to integer.
     Embedded 1 and kala
diff --git a/src/robot/running/librarykeywordrunner.py b/src/robot/running/librarykeywordrunner.py
index 44fd64194a5..d0562340a17 100644
--- a/src/robot/running/librarykeywordrunner.py
+++ b/src/robot/running/librarykeywordrunner.py
@@ -185,6 +185,12 @@ class EmbeddedArgumentsRunner(LibraryKeywordRunner):
 
     def __init__(self, keyword: "LibraryKeyword", name: "str"):
         super().__init__(keyword, name)
+        if any(keyword.embedded.types):
+            raise DataError(
+                "Embedded arguments do not support type information "
+                f"with library keywords: '{keyword.full_name}'. "
+                "Use normal type hints instead."
+            )
         self.embedded_args = keyword.embedded.parse_args(name)
 
     def _resolve_arguments(