diff --git a/tcp_tests/settings.py b/tcp_tests/settings.py
index a645aff..34103a1 100644
--- a/tcp_tests/settings.py
+++ b/tcp_tests/settings.py
@@ -82,4 +82,4 @@
     'TEMPEST_EXCLUDE_TEST_ARGS',
     '--blacklist-file mcp_pike_lvm_skip.list')
 TEMPEST_TARGET = os.environ.get('TEMPEST_TARGET', 'gtw01')
-SALT_VERSION = os.environ.get('SALT_VERSION', '2016.3')
+SALT_VERSION = os.environ.get('SALT_VERSION', '2017.7')
diff --git a/tcp_tests/templates/cookied-model-generator/salt_cookied-bm-mcp-ovs-dpdk.yaml b/tcp_tests/templates/cookied-model-generator/salt_cookied-bm-mcp-ovs-dpdk.yaml
index af20a08..613c07f 100644
--- a/tcp_tests/templates/cookied-model-generator/salt_cookied-bm-mcp-ovs-dpdk.yaml
+++ b/tcp_tests/templates/cookied-model-generator/salt_cookied-bm-mcp-ovs-dpdk.yaml
@@ -4,7 +4,7 @@
 {% set SALT_MODELS_REPOSITORY = os_env('SALT_MODELS_REPOSITORY','https://gerrit.mcp.mirantis.net/salt-models/mcp-baremetal-lab') %}
 # Other salt model repository parameters see in shared-salt.yaml
 {% set LAB_CONFIG_NAME = 'cookied-bm-mcp-ovs-dpdk' %}
-{% set SALT_VERSION = os_env('SALT_VERSION', '2016.3') %}
+{% set SALT_VERSION = os_env('SALT_VERSION', '2017.7') %}
 # Name of the context file (without extension, that is fixed .yaml) used to render the Environment model
 {% set ENVIRONMENT_MODEL_INVENTORY_NAME = os_env('ENVIRONMENT_MODEL_INVENTORY_NAME','cookied-bm-mcp-ovs-dpdk') %}
 # Path to the context files used to render Cluster and Environment models
diff --git a/tcp_tests/templates/cookied-model-generator/salt_cookied-mcp-mitaka-dvr.yaml b/tcp_tests/templates/cookied-model-generator/salt_cookied-mcp-mitaka-dvr.yaml
index 15fd9f5..664bc17 100644
--- a/tcp_tests/templates/cookied-model-generator/salt_cookied-mcp-mitaka-dvr.yaml
+++ b/tcp_tests/templates/cookied-model-generator/salt_cookied-mcp-mitaka-dvr.yaml
@@ -3,7 +3,7 @@
 
 {% set SALT_MODELS_REPOSITORY = os_env('SALT_MODELS_REPOSITORY','https://gerrit.mcp.mirantis.net/salt-models/mcp-virtual-lab') %}
 # Other salt model repository parameters see in shared-salt.yaml
-{% set SALT_VERSION = os_env('SALT_VERSION', '2016.3') %}
+{% set SALT_VERSION = os_env('SALT_VERSION', '2017.7') %}
 
 {% set LAB_CONFIG_NAME = 'cookied-mcp-mitaka-dvr' %}
 # Name of the context file (without extension, that is fixed .yaml) used to render the Environment model
diff --git a/tcp_tests/templates/cookied-model-generator/salt_cookied-mcp-mitaka-ovs.yaml b/tcp_tests/templates/cookied-model-generator/salt_cookied-mcp-mitaka-ovs.yaml
index b507f3d..b245ef4 100644
--- a/tcp_tests/templates/cookied-model-generator/salt_cookied-mcp-mitaka-ovs.yaml
+++ b/tcp_tests/templates/cookied-model-generator/salt_cookied-mcp-mitaka-ovs.yaml
@@ -3,7 +3,7 @@
 
 {% set SALT_MODELS_REPOSITORY = os_env('SALT_MODELS_REPOSITORY','https://gerrit.mcp.mirantis.net/salt-models/mcp-virtual-lab') %}
 # Other salt model repository parameters see in shared-salt.yaml
-{% set SALT_VERSION = os_env('SALT_VERSION', '2016.3') %}
+{% set SALT_VERSION = os_env('SALT_VERSION', '2017.7') %}
 {% set LAB_CONFIG_NAME = 'cookied-mcp-mitaka-ovs' %}
 # Name of the context file (without extension, that is fixed .yaml) used to render the Environment model
 {% set ENVIRONMENT_MODEL_INVENTORY_NAME = os_env('ENVIRONMENT_MODEL_INVENTORY_NAME', LAB_CONFIG_NAME) %}
diff --git a/tcp_tests/templates/mcp-ocata-local-repo-dvr/run_test.sh b/tcp_tests/templates/mcp-ocata-local-repo-dvr/run_test.sh
index ceabf28..c706960 100644
--- a/tcp_tests/templates/mcp-ocata-local-repo-dvr/run_test.sh
+++ b/tcp_tests/templates/mcp-ocata-local-repo-dvr/run_test.sh
@@ -5,7 +5,7 @@
 # Offline deployment simulation, requests to the apt01 node are redirected to publicly available repositories
 export FORMULA_REPOSITORY="deb [arch=amd64] http://apt.mirantis.local.test/xenial ${REPOSITORY_SUITE} salt"
 export FORMULA_GPG="http://apt.mirantis.local.test/public.gpg"
-export SALT_REPOSITORY="deb http://apt.mirantis.com/xenial/salt/2016.3/ ${REPOSITORY_SUITE} main"
+export SALT_REPOSITORY="deb http://apt.mirantis.com/xenial/salt/2017.7/ ${REPOSITORY_SUITE} main"
 export SALT_GPG="http://apt.mirantis.local.test/public.gpg"
 export UBUNTU_REPOSITORY="deb http://mirror.mcp.mirantis.local.test/${REPOSITORY_SUITE}/ubuntu xenial main universe restricted"
 export UBUNTU_UPDATES_REPOSITORY="deb http://mirror.mcp.mirantis.local.test/${REPOSITORY_SUITE}/ubuntu xenial-updates main universe restricted"
@@ -14,7 +14,7 @@
 # Offline deployment simulation, requests to the apt01 node are redirected to an 'offline apt node' with mirrors of repositories
 export FORMULA_REPOSITORY="deb [arch=amd64] http://apt.mirantis.local.test/ubuntu-xenial ${REPOSITORY_SUITE} salt extra"
 export FORMULA_GPG="http://apt.mirantis.local.test/public.gpg"
-export SALT_REPOSITORY="deb [arch=amd64] http://apt.mirantis.local.test/ubuntu-xenial/ ${REPOSITORY_SUITE} salt/2016.3 main"
+export SALT_REPOSITORY="deb [arch=amd64] http://apt.mirantis.local.test/ubuntu-xenial/ ${REPOSITORY_SUITE} salt/2017.7 main"
 export SALT_GPG="http://apt.mirantis.local.test/public.gpg"
 export UBUNTU_REPOSITORY="deb http://mirror.mcp.mirantis.local.test/ubuntu xenial main universe restricted"
 export UBUNTU_UPDATES_REPOSITORY="deb http://mirror.mcp.mirantis.local.test/ubuntu xenial-updates main universe restricted"
diff --git a/tcp_tests/templates/mcp-ocata-local-repo-dvr/underlay--user-data-apt01.yaml b/tcp_tests/templates/mcp-ocata-local-repo-dvr/underlay--user-data-apt01.yaml
index bbaec2b..017b944 100644
--- a/tcp_tests/templates/mcp-ocata-local-repo-dvr/underlay--user-data-apt01.yaml
+++ b/tcp_tests/templates/mcp-ocata-local-repo-dvr/underlay--user-data-apt01.yaml
@@ -56,8 +56,8 @@
    - which wget >/dev/null || (apt-get update; apt-get install -y wget);
    - echo "deb [arch=amd64] http://apt.mirantis.com/xenial {{ REPOSITORY_SUITE }} salt extra" > /etc/apt/sources.list.d/mcp_salt.list;
    - wget -O - http://apt.mirantis.com/public.gpg | apt-key add -;
-   - echo "deb http://repo.saltstack.com/apt/ubuntu/16.04/amd64/2016.3 xenial main" > /etc/apt/sources.list.d/saltstack.list;
-   - wget -O - https://repo.saltstack.com/apt/ubuntu/16.04/amd64/2016.3/SALTSTACK-GPG-KEY.pub | apt-key add -;
+   - echo "deb http://repo.saltstack.com/apt/ubuntu/16.04/amd64/2017.7 xenial main" > /etc/apt/sources.list.d/saltstack.list;
+   - wget -O - https://repo.saltstack.com/apt/ubuntu/16.04/amd64/2017.7/SALTSTACK-GPG-KEY.pub | apt-key add -;
 
    - eatmydata apt-get clean && apt-get update
 
diff --git a/tcp_tests/templates/shared-salt.yaml b/tcp_tests/templates/shared-salt.yaml
index 7b01def..86ab50e 100644
--- a/tcp_tests/templates/shared-salt.yaml
+++ b/tcp_tests/templates/shared-salt.yaml
@@ -15,7 +15,7 @@
 {% set COOKIECUTTER_TEMPLATE_COMMIT = os_env('COOKIECUTTER_TEMPLATE_COMMIT','') %}
 {% set ENVIRONMENT_TEMPLATE_REF_CHANGE = os_env('ENVIRONMENT_TEMPLATE_REF_CHANGE','') %}
 # Currently we support 2 salt version that can be set over bellow var
-{% set SALT_VERSION = os_env('SALT_VERSION','2016.3') %}
+{% set SALT_VERSION = os_env('SALT_VERSION','2017.7') %}
 {% set REPOSITORY_SUITE = os_env('REPOSITORY_SUITE', 'testing') %}
 {% set FORMULA_REPOSITORY = os_env('FORMULA_REPOSITORY', 'deb [arch=amd64] http://apt.mirantis.com/${DISTRIB_CODENAME} ' + REPOSITORY_SUITE + ' salt extra') %}
 {% set FORMULA_GPG = os_env('FORMULA_GPG', 'http://apt.mirantis.com/public.gpg') %}
@@ -1106,7 +1106,7 @@
 
     # Set default salt version
     if [ -z "$saltversion" ]; then
-        saltversion="2016.3"
+        saltversion="2017.7"
     fi
     echo "Using Salt version $saltversion"
 
diff --git a/tcp_tests/templates/virtual-mcp-ocata-ceph-offline/run_test.sh b/tcp_tests/templates/virtual-mcp-ocata-ceph-offline/run_test.sh
index 4ceccb4..612cd47 100755
--- a/tcp_tests/templates/virtual-mcp-ocata-ceph-offline/run_test.sh
+++ b/tcp_tests/templates/virtual-mcp-ocata-ceph-offline/run_test.sh
@@ -13,7 +13,7 @@
 export CLUSTER_NAME=virtual-mcp-ocata-ovs-ceph-local
 export REPOSITORY_SUITE=stable
 export DISTROS_CODENAME=xenial
-export SALT_VERSION=2016.3
+export SALT_VERSION=2017.7
 
 export TEST_GROUP=test_ocata_ceph_all_ovs_install
 export RUN_TEMPEST=true
@@ -36,7 +36,7 @@
 export FORMULA_GPG="http://apt.mirantis.local.test/public.gpg"
 export SALT_REPOSITORY = "deb [arch=amd64] http://mirror.mirantis.local.test/" + REPOSITORY_SUITE+ "/saltstack-" + SALT_VERSION+ "/${DISTRIB_CODENAME} ${DISTRIB_CODENAME} main"
 
-export SALT_REPOSITORY="deb [arch=amd64] http://apt.mirantis.local.test/ubuntu-xenial/ ${REPOSITORY_SUITE} salt/2016.3 main"
+export SALT_REPOSITORY="deb [arch=amd64] http://apt.mirantis.local.test/ubuntu-xenial/ ${REPOSITORY_SUITE} salt/2017.7 main"
 export SALT_GPG="http://apt.mirantis.local.test/public.gpg"
 export UBUNTU_REPOSITORY="deb http://mirror.mcp.mirantis.local.test/ubuntu xenial main universe restricted"
 export UBUNTU_UPDATES_REPOSITORY="deb http://mirror.mcp.mirantis.local.test/ubuntu xenial-updates main universe restricted"
diff --git a/tcp_tests/templates/virtual-mcp-trusty/salt.yaml b/tcp_tests/templates/virtual-mcp-trusty/salt.yaml
index 0c1efb6..0a31788 100644
--- a/tcp_tests/templates/virtual-mcp-trusty/salt.yaml
+++ b/tcp_tests/templates/virtual-mcp-trusty/salt.yaml
@@ -5,7 +5,7 @@
 {% set SALT_MODELS_REPOSITORY = os_env('SALT_MODELS_REPOSITORY','https://gerrit.mcp.mirantis.net/salt-models/mcp-virtual-lab') %}
 # Other salt model repository parameters see in shared-salt.yaml
 {% set OVERRIDES = os_env('OVERRIDES', 'override_example: true') %}
-{% set SALT_VERSION = os_env('SALT_VERSION', '2016.3') %}
+{% set SALT_VERSION = os_env('SALT_VERSION', '2017.7') %}
 {% set OVERRIDES_FILENAME = os_env('OVERRIDES_FILENAME', '/srv/salt/reclass/classes/cluster/overrides.yml') %}
 
 {% import 'shared-salt.yaml' as SHARED with context %}
diff --git a/tcp_tests/templates/virtual-mcp11-k8s-calico-minimal/underlay--user-data-cfg01.yaml b/tcp_tests/templates/virtual-mcp11-k8s-calico-minimal/underlay--user-data-cfg01.yaml
index 739ba35..ba76ad8 100644
--- a/tcp_tests/templates/virtual-mcp11-k8s-calico-minimal/underlay--user-data-cfg01.yaml
+++ b/tcp_tests/templates/virtual-mcp11-k8s-calico-minimal/underlay--user-data-cfg01.yaml
@@ -60,8 +60,8 @@
 
    - echo "deb [arch=amd64] http://apt.mirantis.com/xenial {{ REPOSITORY_SUITE }} salt extra" > /etc/apt/sources.list.d/mcp_salt.list;
    - wget -O - http://apt.mirantis.com/public.gpg | apt-key add -;
-   - echo "deb http://repo.saltstack.com/apt/ubuntu/16.04/amd64/2016.3 xenial main" > /etc/apt/sources.list.d/saltstack.list;
-   - wget -O - https://repo.saltstack.com/apt/ubuntu/16.04/amd64/2016.3/SALTSTACK-GPG-KEY.pub | apt-key add -;
+   - echo "deb http://repo.saltstack.com/apt/ubuntu/16.04/amd64/2017.7 xenial main" > /etc/apt/sources.list.d/saltstack.list;
+   - wget -O - https://repo.saltstack.com/apt/ubuntu/16.04/amd64/2017.7/SALTSTACK-GPG-KEY.pub | apt-key add -;
 
    - eatmydata apt-get clean && apt-get update
 
diff --git a/tcp_tests/templates/virtual-mcp11-k8s-calico-minimal/underlay--user-data1604.yaml b/tcp_tests/templates/virtual-mcp11-k8s-calico-minimal/underlay--user-data1604.yaml
index c0c8e1f..23b112f 100644
--- a/tcp_tests/templates/virtual-mcp11-k8s-calico-minimal/underlay--user-data1604.yaml
+++ b/tcp_tests/templates/virtual-mcp11-k8s-calico-minimal/underlay--user-data1604.yaml
@@ -58,8 +58,8 @@
 
    - echo "deb [arch=amd64] http://apt.mirantis.com/xenial {{ REPOSITORY_SUITE }} salt extra" > /etc/apt/sources.list.d/mcp_salt.list;
    - wget -O - http://apt.mirantis.com/public.gpg | apt-key add -;
-   - echo "deb http://repo.saltstack.com/apt/ubuntu/16.04/amd64/2016.3 xenial main" > /etc/apt/sources.list.d/saltstack.list;
-   - wget -O - https://repo.saltstack.com/apt/ubuntu/16.04/amd64/2016.3/SALTSTACK-GPG-KEY.pub | apt-key add -;
+   - echo "deb http://repo.saltstack.com/apt/ubuntu/16.04/amd64/2017.7 xenial main" > /etc/apt/sources.list.d/saltstack.list;
+   - wget -O - https://repo.saltstack.com/apt/ubuntu/16.04/amd64/2017.7/SALTSTACK-GPG-KEY.pub | apt-key add -;
 
    - apt-get clean
    - eatmydata apt-get update && apt-get -y upgrade
diff --git a/tcp_tests/templates/virtual-offline-pike-ovs-dpdk/run_test.sh b/tcp_tests/templates/virtual-offline-pike-ovs-dpdk/run_test.sh
index 61c2b56..420b805 100755
--- a/tcp_tests/templates/virtual-offline-pike-ovs-dpdk/run_test.sh
+++ b/tcp_tests/templates/virtual-offline-pike-ovs-dpdk/run_test.sh
@@ -12,7 +12,7 @@
 export LAB_CONFIG_NAME=virtual-offline-pike-ovs-dpdk
 export CLUSTER_NAME=virtual-offline-pike-ovs-dpdk
 export REPOSITORY_SUITE=2018.3.0
-export SALT_VERSION=2016.3
+export SALT_VERSION=2017.7
 
 export TEST_GROUP=test_mcp_pike_ovs_install
 export RUN_TEMPEST=true
diff --git a/tcp_tests/templates/virtual-offline-pike-ovs/run_test.sh b/tcp_tests/templates/virtual-offline-pike-ovs/run_test.sh
index bdf709d..d1e0380 100755
--- a/tcp_tests/templates/virtual-offline-pike-ovs/run_test.sh
+++ b/tcp_tests/templates/virtual-offline-pike-ovs/run_test.sh
@@ -12,7 +12,7 @@
 export LAB_CONFIG_NAME=virtual-offline-pike-ovs
 export CLUSTER_NAME=virtual-offline-pike-ovs
 export REPOSITORY_SUITE=2018.1
-export SALT_VERSION=2016.3
+export SALT_VERSION=2017.7
 export DISTRIB_CODENAME=xenial
 
 export TEST_GROUP=test_mcp_pike_ovs_install
diff --git a/tcp_tests/templates/virtual-offline-ssl/run_test.sh b/tcp_tests/templates/virtual-offline-ssl/run_test.sh
index 5893042..1695eae 100755
--- a/tcp_tests/templates/virtual-offline-ssl/run_test.sh
+++ b/tcp_tests/templates/virtual-offline-ssl/run_test.sh
@@ -13,7 +13,7 @@
 export CLUSTER_NAME=virtual-offline-ssl
 export REPOSITORY_SUITE=proposed
 export DISTRIB_CODENAME=xenial
-export SALT_VERSION=2016.3
+export SALT_VERSION=2017.7
 
 export TEST_GROUP=test_mcp_pike_ovs_install
 export RUN_TEMPEST=true