diff --git a/mopidy/__init__.py b/mopidy/__init__.py
index 7ab3b9e6..e9f2e6c3 100644
--- a/mopidy/__init__.py
+++ b/mopidy/__init__.py
@@ -30,4 +30,4 @@ except ImportError:
 warnings.filterwarnings('ignore', 'could not open display')
 
 
-__version__ = '1.0.7'
+__version__ = '1.0.8'
diff --git a/tests/test_version.py b/tests/test_version.py
index f8afd3db..c0c2d9e6 100644
--- a/tests/test_version.py
+++ b/tests/test_version.py
@@ -62,5 +62,6 @@ class VersionTest(unittest.TestCase):
         self.assertVersionLess('1.0.3', '1.0.4')
         self.assertVersionLess('1.0.4', '1.0.5')
         self.assertVersionLess('1.0.5', '1.0.6')
-        self.assertVersionLess('1.0.6', __version__)
-        self.assertVersionLess(__version__, '1.0.8')
+        self.assertVersionLess('1.0.6', '1.0.7')
+        self.assertVersionLess('1.0.7', __version__)
+        self.assertVersionLess(__version__, '1.0.9')