diff --git a/CHANGELOG.md b/CHANGELOG.md
index 43134ab..d18c1ee 100644
--- a/CHANGELOG.md
+++ b/CHANGELOG.md
@@ -1,5 +1,9 @@
 # Changes
 
+## [1.1.0] - 2024-08-12
+
+* Server graceful shutdown support
+
 ## [1.0.0] - 2024-05-28
 
 * Use async fn for Service::ready() and Service::shutdown()
diff --git a/Cargo.toml b/Cargo.toml
index ff6a225..d887182 100644
--- a/Cargo.toml
+++ b/Cargo.toml
@@ -1,6 +1,6 @@
 [package]
 name = "ntex-h2"
-version = "1.0.0"
+version = "1.1.0"
 license = "MIT OR Apache-2.0"
 authors = ["Nikolay Kim <fafhrd91@gmail.com>"]
 description = "An HTTP/2 client and server"
diff --git a/src/config.rs b/src/config.rs
index 3b094a1..0fa27bb 100644
--- a/src/config.rs
+++ b/src/config.rs
@@ -8,8 +8,9 @@ use crate::{consts, frame, frame::Settings, frame::WindowSize};
 bitflags::bitflags! {
     #[derive(Copy, Clone, Debug, PartialEq, Eq, PartialOrd, Ord, Hash)]
     struct ConfigFlags: u8 {
-        const SERVER = 0b0000_0001;
-        const HTTPS  = 0b0000_0010;
+        const SERVER =    0b0000_0001;
+        const HTTPS  =    0b0000_0010;
+        const SHUTDOWN  = 0b0000_0100;
     }
 }
 
@@ -326,11 +327,30 @@ impl Config {
         self.0.flags.get().contains(ConfigFlags::SERVER)
     }
 
+    /// Check if service is shutting down.
+    pub fn is_shutdown(&self) -> bool {
+        self.0.flags.get().contains(ConfigFlags::SHUTDOWN)
+    }
+
+    /// Set service shutdown.
+    pub fn shutdown(&self) {
+        let mut flags = self.0.flags.get();
+        flags.insert(ConfigFlags::SHUTDOWN);
+        self.0.flags.set(flags);
+    }
+
     pub(crate) fn inner(&self) -> &ConfigInner {
         self.0.as_ref()
     }
 }
 
+impl ConfigInner {
+    /// Check if service is shutting down.
+    pub(crate) fn is_shutdown(&self) -> bool {
+        self.flags.get().contains(ConfigFlags::SHUTDOWN)
+    }
+}
+
 impl fmt::Debug for Config {
     fn fmt(&self, f: &mut fmt::Formatter<'_>) -> fmt::Result {
         f.debug_struct("Config")
diff --git a/src/connection.rs b/src/connection.rs
index 2e544b7..a3e5e99 100644
--- a/src/connection.rs
+++ b/src/connection.rs
@@ -427,6 +427,18 @@ impl RecvHalfConnection {
                 "Received headers",
             )))
         } else {
+            // refuse stream if connection is preparing for disconnect
+            if self
+                .0
+                .flags
+                .get()
+                .contains(ConnectionFlags::DISCONNECT_WHEN_READY)
+            {
+                self.encode(frame::Reset::new(id, frame::Reason::REFUSED_STREAM));
+                self.set_flags(ConnectionFlags::STREAM_REFUSED);
+                return Ok(None);
+            }
+
             if let Some(max) = self.0.local_config.0.remote_max_concurrent_streams.get() {
                 if self.0.active_remote_streams.get() >= max {
                     // check if client opened more streams than allowed
diff --git a/src/server/service.rs b/src/server/service.rs
index 69ca304..fa52cc8 100644
--- a/src/server/service.rs
+++ b/src/server/service.rs
@@ -1,14 +1,12 @@
-use std::{fmt, rc::Rc};
+use std::{fmt, future::poll_fn, future::Future, pin::Pin, rc::Rc};
 
 use ntex_io::{Dispatcher as IoDispatcher, Filter, Io, IoBoxed};
 use ntex_service::{Service, ServiceCtx, ServiceFactory};
 use ntex_util::time::timeout_checked;
 
-use crate::connection::Connection;
 use crate::control::{Control, ControlAck};
-use crate::{
-    codec::Codec, config::Config, consts, dispatcher::Dispatcher, frame, message::Message,
-};
+use crate::{codec::Codec, connection::Connection};
+use crate::{config::Config, consts, dispatcher::Dispatcher, frame, message::Message};
 
 use super::{ServerBuilder, ServerError};
 
@@ -139,14 +137,21 @@ where
         // create h2 codec
         let codec = Codec::default();
         let con = Connection::new(io.get_ref(), codec.clone(), inner.config.clone(), true);
+        let con2 = con.clone();
 
         // start protocol dispatcher
-        IoDispatcher::new(
+        let mut fut = IoDispatcher::new(
             io,
             codec,
             Dispatcher::new(con, ctl_srv, pub_srv),
             &inner.config.inner().dispatcher_config,
-        )
+        );
+        poll_fn(|cx| {
+            if con2.config().is_shutdown() {
+                con2.disconnect_when_ready();
+            }
+            Pin::new(&mut fut).poll(cx)
+        })
         .await
         .map_err(|_| ServerError::Dispatcher)
     }
@@ -245,14 +250,22 @@ where
     // create h2 codec
     let codec = Codec::default();
     let con = Connection::new(io.get_ref(), codec.clone(), config.clone(), true);
+    let con2 = con.clone();
 
     // start protocol dispatcher
-    IoDispatcher::new(
+    let mut fut = IoDispatcher::new(
         io,
         codec,
         Dispatcher::new(con, ctl_svc, pub_svc),
         &config.inner().dispatcher_config,
-    )
+    );
+
+    poll_fn(|cx| {
+        if con2.config().is_shutdown() {
+            con2.disconnect_when_ready();
+        }
+        Pin::new(&mut fut).poll(cx)
+    })
     .await
     .map_err(|_| ServerError::Dispatcher)
 }