diff --git a/Spanner/src/Database.php b/Spanner/src/Database.php
index 14d16d777c3..da631bd32bf 100644
--- a/Spanner/src/Database.php
+++ b/Spanner/src/Database.php
@@ -964,6 +964,17 @@ public function runTransaction(callable $operation, array $options = []): mixed
             $this->isRunningTransaction = true;
             try {
                 $res = call_user_func($operation, $transaction);
+            } catch (\Throwable $e) {
+                $active = $transaction->state() === Transaction::STATE_ACTIVE;
+                $singleUse = $transaction->type() === Transaction::TYPE_SINGLE_USE;
+                if ($active && !$singleUse) {
+                    try {
+                        $transaction->rollback();
+                    } catch (\Throwable $rollbackException) {
+                        // ignore rollback failure and bubble up the original exception
+                    }
+                }
+                throw $e;
             } finally {
                 $this->isRunningTransaction = false;
             }
@@ -971,7 +982,7 @@ public function runTransaction(callable $operation, array $options = []): mixed
             $active = $transaction->state() === Transaction::STATE_ACTIVE;
             $singleUse = $transaction->type() === Transaction::TYPE_SINGLE_USE;
             if ($active && !$singleUse) {
-                $transaction->rollback($options);
+                $transaction->rollback();
                 throw new \RuntimeException('Transactions must be rolled back or committed.');
             }
 
diff --git a/Spanner/tests/Unit/DatabaseTest.php b/Spanner/tests/Unit/DatabaseTest.php
index 730ab9ed5d6..e3b0013b6d1 100644
--- a/Spanner/tests/Unit/DatabaseTest.php
+++ b/Spanner/tests/Unit/DatabaseTest.php
@@ -792,6 +792,20 @@ public function testRunTransactionNoCommit()
         $this->database->runTransaction($this->noop());
     }
 
+    public function testRunTransactionNoCommitWithTag()
+    {
+        $this->expectException(\RuntimeException::class);
+        $this->expectExceptionMessage('Transactions must be rolled back or committed.');
+
+        $sql = $this->createStreamingAPIArgs()['sql'];
+        $this->stubExecuteStreamingSql();
+        $this->spannerClient->rollback(Argument::cetera())->shouldBeCalled();
+
+        $this->database->runTransaction(function (Transaction $t) use ($sql) {
+            $t->execute($sql);
+        }, ['tag' => self::TRANSACTION_TAG]);
+    }
+
     public function testRunTransactionNestedTransaction()
     {
         $this->expectException(BadMethodCallException::class);
@@ -2288,6 +2302,28 @@ public function testRunTransactionWithRollback()
         }, ['tag' => self::TRANSACTION_TAG]);
     }
 
+    public function testRunTransactionRollsBackOnException()
+    {
+        $sql = $this->createStreamingAPIArgs()['sql'];
+
+        $this->stubExecuteStreamingSql();
+        $this->spannerClient->rollback(
+            Argument::that(function ($request) use ($sql) {
+                return $request->getTransactionId() == self::TRANSACTION;
+            }),
+            Argument::type('array')
+        )
+            ->shouldBeCalledOnce();
+
+        $this->expectException(\RuntimeException::class);
+        $this->expectExceptionMessage('Callback exception');
+
+        $this->database->runTransaction(function (Transaction $t) use ($sql) {
+            $t->execute($sql);
+            throw new \RuntimeException('Callback exception');
+        }, ['tag' => self::TRANSACTION_TAG]);
+    }
+
     public function testRunTransactionWithExcludeTxnFromChangeStreams()
     {
         $sql = 'SELECT example FROM sql_query';