diff --git a/packages/block-library/src/navigation/block.json b/packages/block-library/src/navigation/block.json
index 273ac75dd65f3e..c40b0b3d7a9432 100644
--- a/packages/block-library/src/navigation/block.json
+++ b/packages/block-library/src/navigation/block.json
@@ -91,6 +91,7 @@
 			"__experimentalTextDecoration": true
 		}
 	},
+	"usesContext": [ "navigation" ],
 	"viewScript": "file:./view.min.js",
 	"editorStyle": "wp-block-navigation-editor",
 	"style": "wp-block-navigation"
diff --git a/packages/block-library/src/navigation/edit.js b/packages/block-library/src/navigation/edit.js
index d5ef92a4c894f2..6caf58881a2c80 100644
--- a/packages/block-library/src/navigation/edit.js
+++ b/packages/block-library/src/navigation/edit.js
@@ -2,6 +2,7 @@
  * External dependencies
  */
 import classnames from 'classnames';
+import { defaults } from 'lodash';
 
 /**
  * WordPress dependencies
@@ -38,17 +39,25 @@ import NavigationPlaceholder from './placeholder';
 import PlaceholderPreview from './placeholder-preview';
 import ResponsiveWrapper from './responsive-wrapper';
 
-const ALLOWED_BLOCKS = [
-	'core/navigation-link',
-	'core/search',
-	'core/social-links',
-	'core/page-list',
-	'core/spacer',
-	'core/home-link',
-	'core/site-title',
-	'core/site-logo',
-	'core/navigation-submenu',
-];
+const CONTEXT_DEFAULTS = {
+	allowedBlocks: [
+		'core/navigation-link',
+		'core/search',
+		'core/social-links',
+		'core/page-list',
+		'core/spacer',
+		'core/home-link',
+		'core/site-title',
+		'core/site-logo',
+		'core/navigation-submenu',
+	],
+	hasSubmenuIndicatorSetting: true,
+	hasItemJustificationControls: true,
+	hasColorSettings: true,
+	placeholder: NavigationPlaceholder,
+	createAppender: ( wouldNavBlockShowAppender ) =>
+		wouldNavBlockShowAppender ? undefined : false,
+};
 
 const DEFAULT_BLOCK = [ 'core/navigation-link' ];
 
@@ -96,6 +105,7 @@ function Navigation( {
 	selectedBlockHasDescendants,
 	attributes,
 	setAttributes,
+	context: { navigation },
 	clientId,
 	hasExistingNavItems,
 	isImmediateParentOfSelectedBlock,
@@ -110,14 +120,6 @@ function Navigation( {
 	setOverlayBackgroundColor,
 	overlayTextColor,
 	setOverlayTextColor,
-
-	// These props are used by the navigation editor to override specific
-	// navigation block settings.
-	hasSubmenuIndicatorSetting = true,
-	hasItemJustificationControls = true,
-	hasColorSettings = true,
-	customPlaceholder: CustomPlaceholder = null,
-	customAppender: CustomAppender = null,
 } ) {
 	const [ isPlaceholderShown, setIsPlaceholderShown ] = useState(
 		! hasExistingNavItems
@@ -126,6 +128,10 @@ function Navigation( {
 		false
 	);
 
+	// The context is used by the navigation editor to override specific
+	// navigation block settings.
+	const navContext = defaults( navigation, CONTEXT_DEFAULTS );
+
 	const { selectBlock } = useDispatch( blockEditorStore );
 
 	const navRef = useRef();
@@ -162,22 +168,22 @@ function Navigation( {
 	// When the block is selected itself or has a top level item selected that
 	// doesn't itself have children, show the standard appender. Else show no
 	// appender.
-	const appender =
+	const wouldNavBlockShowAppender =
 		isSelected ||
-		( isImmediateParentOfSelectedBlock && ! selectedBlockHasDescendants )
-			? undefined
-			: false;
+		( isImmediateParentOfSelectedBlock && ! selectedBlockHasDescendants );
 
 	const innerBlocksProps = useInnerBlocksProps(
 		{
 			className: 'wp-block-navigation__container',
 		},
 		{
-			allowedBlocks: ALLOWED_BLOCKS,
+			allowedBlocks: navContext.allowedBlocks,
 			__experimentalDefaultBlock: DEFAULT_BLOCK,
 			__experimentalDirectInsert: DIRECT_INSERT,
 			orientation: attributes.orientation,
-			renderAppender: CustomAppender || appender,
+			renderAppender: navContext.createAppender(
+				wouldNavBlockShowAppender
+			),
 
 			// Ensure block toolbar is not too far removed from item
 			// being edited when in vertical mode.
@@ -189,7 +195,10 @@ function Navigation( {
 			// inherit templateLock={ 'all' }.
 			templateLock: false,
 			__experimentalLayout: LAYOUT,
-			placeholder: ! CustomPlaceholder ? placeholder : undefined,
+			placeholder:
+				navContext.placeholder === CONTEXT_DEFAULTS.placeholder
+					? placeholder
+					: undefined,
 		}
 	);
 
@@ -226,9 +235,7 @@ function Navigation( {
 	} );
 
 	if ( isPlaceholderShown ) {
-		const PlaceholderComponent = CustomPlaceholder
-			? CustomPlaceholder
-			: NavigationPlaceholder;
+		const PlaceholderComponent = navContext.placeholder;
 
 		return (
 			<div { ...blockProps }>
@@ -253,7 +260,7 @@ function Navigation( {
 	return (
 		<>
 			<BlockControls>
-				{ hasItemJustificationControls && (
+				{ navContext.hasItemJustificationControls && (
 					<JustifyToolbar
 						value={ attributes.itemsJustification }
 						allowedControls={ justifyAllowedControls }
@@ -270,7 +277,7 @@ function Navigation( {
 			</BlockControls>
 			{ navigatorModal }
 			<InspectorControls>
-				{ hasSubmenuIndicatorSetting && (
+				{ navContext.hasSubmenuIndicatorSetting && (
 					<PanelBody title={ __( 'Display settings' ) }>
 						<ToggleControl
 							checked={ attributes.isResponsive }
@@ -303,7 +310,7 @@ function Navigation( {
 						) }
 					</PanelBody>
 				) }
-				{ hasColorSettings && (
+				{ navContext.hasColorSettings && (
 					<PanelColorSettings
 						title={ __( 'Color' ) }
 						initialOpen={ false }
diff --git a/packages/edit-navigation/src/components/layout/index.js b/packages/edit-navigation/src/components/layout/index.js
index fba4c759f4b54f..04c0ad39319c53 100644
--- a/packages/edit-navigation/src/components/layout/index.js
+++ b/packages/edit-navigation/src/components/layout/index.js
@@ -2,10 +2,13 @@
  * WordPress dependencies
  */
 import {
+	BlockContextProvider,
 	BlockEditorKeyboardShortcuts,
 	BlockEditorProvider,
 	BlockTools,
+	InnerBlocks,
 	__unstableUseBlockSelectionClearer as useBlockSelectionClearer,
+	store as blockEditorStore,
 } from '@wordpress/block-editor';
 import { useEntityBlockEditor } from '@wordpress/core-data';
 import { Popover, SlotFillProvider, Spinner } from '@wordpress/components';
@@ -41,6 +44,7 @@ import {
 	NAVIGATION_POST_KIND,
 	NAVIGATION_POST_POST_TYPE,
 } from '../../constants';
+import BlockPlaceholder from '../block-placeholder';
 
 const interfaceLabels = {
 	/* translators: accessibility text for the navigation screen top bar landmark region. */
@@ -52,6 +56,10 @@ const interfaceLabels = {
 	secondarySidebar: __( 'Block library' ),
 };
 
+function CustomAppender() {
+	return <InnerBlocks.ButtonBlockAppender isToggle />;
+}
+
 export default function Layout( { blockEditorSettings } ) {
 	const contentAreaRef = useBlockSelectionClearer();
 	const [ isMenuNameControlFocused, setIsMenuNameControlFocused ] = useState(
@@ -80,16 +88,40 @@ export default function Layout( { blockEditorSettings } ) {
 		}
 	);
 
-	const { hasSidebarEnabled, isInserterOpened } = useSelect(
+	const { hasSidebarEnabled, isInserterOpened, noBlockSelected } = useSelect(
 		( select ) => ( {
 			hasSidebarEnabled: !! select(
 				interfaceStore
 			).getActiveComplementaryArea( 'core/edit-navigation' ),
 			isInserterOpened: select( editNavigationStore ).isInserterOpened(),
+			noBlockSelected: ! select(
+				blockEditorStore
+			).getSelectedBlockClientId(),
 		} ),
 		[]
 	);
 
+	const blockContext = useMemo( () => {
+		const context = {
+			hasSubmenuIndicatorSetting: false,
+			hasItemJustificationControls: false,
+			hasColorSettings: false,
+			placeholder: BlockPlaceholder,
+			createAppender: ( wouldNavBlockShowAppender ) =>
+				wouldNavBlockShowAppender || noBlockSelected
+					? CustomAppender
+					: false,
+		};
+		if ( ! blockEditorSettings.blockNavMenus ) {
+			context.allowedBlocks = [
+				'core/navigation',
+				'core/navigation-link',
+				'core/navigation-submenu',
+			];
+		}
+		return { navigation: context };
+	}, [ blockEditorSettings.blockNavMenus, noBlockSelected ] );
+
 	useEffect( () => {
 		if ( ! selectedMenuId && menus?.length ) {
 			selectMenu( menus[ 0 ].id );
@@ -127,77 +159,83 @@ export default function Layout( { blockEditorSettings } ) {
 						} }
 						useSubRegistry={ false }
 					>
-						<IsMenuNameControlFocusedContext.Provider
-							value={ useMemo(
-								() => [
-									isMenuNameControlFocused,
-									setIsMenuNameControlFocused,
-								],
-								[ isMenuNameControlFocused ]
-							) }
-						>
-							<InterfaceSkeleton
-								className="edit-navigation-layout"
-								labels={ interfaceLabels }
-								header={
-									<Header
-										isMenuSelected={ isMenuSelected }
-										isPending={ ! hasLoadedMenus }
-										menus={ menus }
-										navigationPost={ navigationPost }
-									/>
-								}
-								content={
-									<>
-										<Notices />
-										{ ! hasFinishedInitialLoad && (
-											<Spinner />
-										) }
-
-										{ ! isMenuSelected &&
-											hasFinishedInitialLoad && (
-												<UnselectedMenuState
-													onSelectMenu={ selectMenu }
-													onCreate={ selectMenu }
-													menus={ menus }
-												/>
+						<BlockContextProvider value={ blockContext }>
+							<IsMenuNameControlFocusedContext.Provider
+								value={ useMemo(
+									() => [
+										isMenuNameControlFocused,
+										setIsMenuNameControlFocused,
+									],
+									[ isMenuNameControlFocused ]
+								) }
+							>
+								<InterfaceSkeleton
+									className="edit-navigation-layout"
+									labels={ interfaceLabels }
+									header={
+										<Header
+											isMenuSelected={ isMenuSelected }
+											isPending={ ! hasLoadedMenus }
+											menus={ menus }
+											navigationPost={ navigationPost }
+										/>
+									}
+									content={
+										<>
+											<Notices />
+											{ ! hasFinishedInitialLoad && (
+												<Spinner />
 											) }
-										{ isBlockEditorReady && (
-											<div
-												className="edit-navigation-layout__content-area"
-												ref={ contentAreaRef }
-											>
-												<BlockTools>
-													<Editor
-														isPending={
-															! hasLoadedMenus
+
+											{ ! isMenuSelected &&
+												hasFinishedInitialLoad && (
+													<UnselectedMenuState
+														onSelectMenu={
+															selectMenu
 														}
+														onCreate={ selectMenu }
+														menus={ menus }
 													/>
-												</BlockTools>
-											</div>
-										) }
-									</>
-								}
-								sidebar={
-									hasSidebarEnabled && (
-										<ComplementaryArea.Slot scope="core/edit-navigation" />
-									)
-								}
-								secondarySidebar={
-									isInserterOpened && <InserterSidebar />
-								}
-							/>
-							{ isMenuSelected && (
-								<Sidebar
-									menus={ menus }
-									menuId={ selectedMenuId }
-									onSelectMenu={ selectMenu }
-									onDeleteMenu={ deleteMenu }
-									isMenuBeingDeleted={ isMenuBeingDeleted }
+												) }
+											{ isBlockEditorReady && (
+												<div
+													className="edit-navigation-layout__content-area"
+													ref={ contentAreaRef }
+												>
+													<BlockTools>
+														<Editor
+															isPending={
+																! hasLoadedMenus
+															}
+														/>
+													</BlockTools>
+												</div>
+											) }
+										</>
+									}
+									sidebar={
+										hasSidebarEnabled && (
+											<ComplementaryArea.Slot scope="core/edit-navigation" />
+										)
+									}
+									secondarySidebar={
+										isInserterOpened && <InserterSidebar />
+									}
 								/>
-							) }
-						</IsMenuNameControlFocusedContext.Provider>
-						<UnsavedChangesWarning />
+								{ isMenuSelected && (
+									<Sidebar
+										menus={ menus }
+										menuId={ selectedMenuId }
+										onSelectMenu={ selectMenu }
+										onDeleteMenu={ deleteMenu }
+										isMenuBeingDeleted={
+											isMenuBeingDeleted
+										}
+									/>
+								) }
+							</IsMenuNameControlFocusedContext.Provider>
+							<UnsavedChangesWarning />
+						</BlockContextProvider>
 					</BlockEditorProvider>
 					<Popover.Slot />
 				</SlotFillProvider>
diff --git a/packages/edit-navigation/src/filters/add-navigation-editor-custom-appender.js b/packages/edit-navigation/src/filters/add-navigation-editor-custom-appender.js
deleted file mode 100644
index 6a3b5f64e94dce..00000000000000
--- a/packages/edit-navigation/src/filters/add-navigation-editor-custom-appender.js
+++ /dev/null
@@ -1,76 +0,0 @@
-/**
- * WordPress dependencies
- */
-import { useSelect } from '@wordpress/data';
-import { addFilter } from '@wordpress/hooks';
-import { createHigherOrderComponent } from '@wordpress/compose';
-import {
-	InnerBlocks,
-	store as blockEditorStore,
-} from '@wordpress/block-editor';
-
-function CustomAppender() {
-	return <InnerBlocks.ButtonBlockAppender isToggle />;
-}
-
-function EnhancedNavigationBlock( { blockEdit: BlockEdit, ...props } ) {
-	const clientId = props.clientId;
-	const {
-		noBlockSelected,
-		isSelected,
-		isImmediateParentOfSelectedBlock,
-		selectedBlockHasDescendants,
-	} = useSelect(
-		( select ) => {
-			const {
-				getClientIdsOfDescendants,
-				hasSelectedInnerBlock,
-				getSelectedBlockClientId,
-			} = select( blockEditorStore );
-			const _isImmediateParentOfSelectedBlock = hasSelectedInnerBlock(
-				clientId,
-				false
-			);
-			const selectedBlockId = getSelectedBlockClientId();
-			const _selectedBlockHasDescendants = !! getClientIdsOfDescendants( [
-				selectedBlockId,
-			] )?.length;
-
-			return {
-				isSelected: selectedBlockId === clientId,
-				noBlockSelected: ! selectedBlockId,
-				isImmediateParentOfSelectedBlock: _isImmediateParentOfSelectedBlock,
-				selectedBlockHasDescendants: _selectedBlockHasDescendants,
-			};
-		},
-		[ clientId ]
-	);
-
-	const customAppender =
-		noBlockSelected ||
-		isSelected ||
-		( isImmediateParentOfSelectedBlock && ! selectedBlockHasDescendants )
-			? CustomAppender
-			: false;
-
-	return <BlockEdit { ...props } customAppender={ customAppender } />;
-}
-
-const addNavigationEditorCustomAppender = createHigherOrderComponent(
-	( BlockEdit ) => ( props ) => {
-		if ( props.name !== 'core/navigation' ) {
-			return <BlockEdit { ...props } />;
-		}
-
-		// Use a separate component so that `useSelect` only run on the navigation block.
-		return <EnhancedNavigationBlock blockEdit={ BlockEdit } { ...props } />;
-	},
-	'withNavigationEditorCustomAppender'
-);
-
-export default () =>
-	addFilter(
-		'editor.BlockEdit',
-		'core/edit-navigation/with-navigation-editor-custom-appender',
-		addNavigationEditorCustomAppender
-	);
diff --git a/packages/edit-navigation/src/filters/add-navigation-editor-placeholder.js b/packages/edit-navigation/src/filters/add-navigation-editor-placeholder.js
deleted file mode 100644
index 94b62fea180572..00000000000000
--- a/packages/edit-navigation/src/filters/add-navigation-editor-placeholder.js
+++ /dev/null
@@ -1,29 +0,0 @@
-/**
- * WordPress dependencies
- */
-import { addFilter } from '@wordpress/hooks';
-import { createHigherOrderComponent } from '@wordpress/compose';
-
-/**
- * Internal dependencies
- */
-import BlockPlaceholder from '../components/block-placeholder';
-
-const addNavigationEditorPlaceholder = createHigherOrderComponent(
-	( BlockEdit ) => ( props ) => {
-		if ( props.name !== 'core/navigation' ) {
-			return <BlockEdit { ...props } />;
-		}
-		return (
-			<BlockEdit { ...props } customPlaceholder={ BlockPlaceholder } />
-		);
-	},
-	'withNavigationEditorPlaceholder'
-);
-
-export default () =>
-	addFilter(
-		'editor.BlockEdit',
-		'core/edit-navigation/with-navigation-editor-placeholder',
-		addNavigationEditorPlaceholder
-	);
diff --git a/packages/edit-navigation/src/filters/disable-inserting-non-navigation-blocks.js b/packages/edit-navigation/src/filters/disable-inserting-non-navigation-blocks.js
deleted file mode 100644
index f8426c7dd9137d..00000000000000
--- a/packages/edit-navigation/src/filters/disable-inserting-non-navigation-blocks.js
+++ /dev/null
@@ -1,28 +0,0 @@
-/**
- * WordPress dependencies
- */
-import { addFilter } from '@wordpress/hooks';
-/**
- * External dependencies
- */
-import { set } from 'lodash';
-
-function disableInsertingNonNavigationBlocks( settings, name ) {
-	if (
-		! [
-			'core/navigation',
-			'core/navigation-link',
-			'core/navigation-submenu',
-		].includes( name )
-	) {
-		set( settings, [ 'supports', 'inserter' ], false );
-	}
-	return settings;
-}
-
-export default () =>
-	addFilter(
-		'blocks.registerBlockType',
-		'core/edit-navigation/disable-inserting-non-navigation-blocks',
-		disableInsertingNonNavigationBlocks
-	);
diff --git a/packages/edit-navigation/src/filters/index.js b/packages/edit-navigation/src/filters/index.js
index 17074eb87c6603..806d07dfa70f60 100644
--- a/packages/edit-navigation/src/filters/index.js
+++ b/packages/edit-navigation/src/filters/index.js
@@ -1,22 +1,10 @@
 /**
  * Internal dependencies
  */
-import addNavigationEditorCustomAppender from './add-navigation-editor-custom-appender';
-import addNavigationEditorPlaceholder from './add-navigation-editor-placeholder';
 import addMenuNameEditor from './add-menu-name-editor';
-import disableInsertingNonNavigationBlocks from './disable-inserting-non-navigation-blocks';
-import removeEditUnsupportedFeatures from './remove-edit-unsupported-features';
 import removeSettingsUnsupportedFeatures from './remove-settings-unsupported-features';
 
-export const addFilters = (
-	shouldAddDisableInsertingNonNavigationBlocksFilter
-) => {
-	addNavigationEditorCustomAppender();
-	addNavigationEditorPlaceholder();
+export const addFilters = () => {
 	addMenuNameEditor();
-	if ( shouldAddDisableInsertingNonNavigationBlocksFilter ) {
-		disableInsertingNonNavigationBlocks();
-	}
-	removeEditUnsupportedFeatures();
 	removeSettingsUnsupportedFeatures();
 };
diff --git a/packages/edit-navigation/src/filters/remove-edit-unsupported-features.js b/packages/edit-navigation/src/filters/remove-edit-unsupported-features.js
deleted file mode 100644
index 2c58b995158d4d..00000000000000
--- a/packages/edit-navigation/src/filters/remove-edit-unsupported-features.js
+++ /dev/null
@@ -1,30 +0,0 @@
-/**
- * WordPress dependencies
- */
-import { addFilter } from '@wordpress/hooks';
-import { createHigherOrderComponent } from '@wordpress/compose';
-
-const removeNavigationBlockEditUnsupportedFeatures = createHigherOrderComponent(
-	( BlockEdit ) => ( props ) => {
-		if ( props.name !== 'core/navigation' ) {
-			return <BlockEdit { ...props } />;
-		}
-
-		return (
-			<BlockEdit
-				{ ...props }
-				hasSubmenuIndicatorSetting={ false }
-				hasItemJustificationControls={ false }
-				hasColorSettings={ false }
-			/>
-		);
-	},
-	'removeNavigationBlockEditUnsupportedFeatures'
-);
-
-export default () =>
-	addFilter(
-		'editor.BlockEdit',
-		'core/edit-navigation/remove-navigation-block-edit-unsupported-features',
-		removeNavigationBlockEditUnsupportedFeatures
-	);
diff --git a/packages/edit-navigation/src/index.js b/packages/edit-navigation/src/index.js
index fe3629e2829494..9d8ba610019718 100644
--- a/packages/edit-navigation/src/index.js
+++ b/packages/edit-navigation/src/index.js
@@ -53,11 +53,9 @@ function NavEditor( { settings } ) {
 
 /**
  * Setup and registration of editor.
- *
- * @param {Object} settings blockEditor settings.
  */
-function setUpEditor( settings ) {
-	addFilters( ! settings.blockNavMenus );
+function setUpEditor() {
+	addFilters();
 	registerCoreBlocks();
 
 	// Set up the navigation post entity.
@@ -83,7 +81,7 @@ function setUpEditor( settings ) {
  * @param {Object} settings blockEditor settings.
  */
 export function initialize( id, settings ) {
-	setUpEditor( settings );
+	setUpEditor();
 
 	render(
 		<NavEditor settings={ settings } />,