diff --git a/cmd/clusterctl/client/config/providers_client.go b/cmd/clusterctl/client/config/providers_client.go
index 3adad5719b5c..499f16639ea9 100644
--- a/cmd/clusterctl/client/config/providers_client.go
+++ b/cmd/clusterctl/client/config/providers_client.go
@@ -91,6 +91,11 @@ const (
 	K0smotronControlPlaneProviderName         = "k0sproject-k0smotron"
 )
 
+// IPAM providers.
+const (
+	InClusterIPAMProviderName = "in-cluster"
+)
+
 // Add-on providers.
 const (
 	HelmAddonProviderName = "helm"
@@ -369,6 +374,13 @@ func (p *providersClient) defaults() []Provider {
 			providerType: clusterctlv1.ControlPlaneProviderType,
 		},
 
+		// IPAM providers
+		&provider{
+			name:         InClusterIPAMProviderName,
+			url:          "https://github.com/kubernetes-sigs/cluster-api-ipam-provider-in-cluster/releases/latest/ipam-components.yaml",
+			providerType: clusterctlv1.IPAMProviderType,
+		},
+
 		// Add-on providers
 		&provider{
 			name:         HelmAddonProviderName,
diff --git a/cmd/clusterctl/cmd/init.go b/cmd/clusterctl/cmd/init.go
index e19eee9796da..18dd3edab328 100644
--- a/cmd/clusterctl/cmd/init.go
+++ b/cmd/clusterctl/cmd/init.go
@@ -103,7 +103,7 @@ func init() {
 	initCmd.PersistentFlags().StringSliceVarP(&initOpts.controlPlaneProviders, "control-plane", "c", nil,
 		"Control plane providers and versions (e.g. kubeadm:v1.1.5) to add to the management cluster. If unspecified, the Kubeadm control plane provider's latest release is used.")
 	initCmd.PersistentFlags().StringSliceVar(&initOpts.ipamProviders, "ipam", nil,
-		"IPAM providers and versions (e.g. infoblox:v0.0.1) to add to the management cluster.")
+		"IPAM providers and versions (e.g. in-cluster:v0.1.0) to add to the management cluster.")
 	initCmd.PersistentFlags().StringSliceVar(&initOpts.runtimeExtensionProviders, "runtime-extension", nil,
 		"Runtime extension providers and versions to add to the management cluster; please note that clusterctl doesn't include any default runtime extensions and thus it is required to use custom configuration files to register runtime extensions.")
 	initCmd.PersistentFlags().StringSliceVar(&initOpts.addonProviders, "addon", nil,