diff --git a/lib/rules/prefer-use-template-ref.js b/lib/rules/prefer-use-template-ref.js
index 7d01958b7..eb8b8c06d 100644
--- a/lib/rules/prefer-use-template-ref.js
+++ b/lib/rules/prefer-use-template-ref.js
@@ -78,9 +78,10 @@ module.exports = {
       }),
       utils.defineVueVisitor(context, {
         onSetupFunctionEnter(node) {
-          // @ts-ignore
+          if (node.type === 'ArrowFunctionExpression' && node.expression) {
+            return
+          }
           const newScriptRefs = getScriptRefsFromSetupFunction(node.body.body)
-
           scriptRefs.push(...newScriptRefs)
         }
       }),
diff --git a/tests/lib/rules/prefer-use-template-ref.js b/tests/lib/rules/prefer-use-template-ref.js
index 77020cdcf..414c69830 100644
--- a/tests/lib/rules/prefer-use-template-ref.js
+++ b/tests/lib/rules/prefer-use-template-ref.js
@@ -252,6 +252,17 @@ tester.run('prefer-use-template-ref', rule, {
         }
       </script>
       `
+    },
+    {
+      filename: 'non-block-arrow-setup-function.vue',
+      code: `
+        <script>
+          import { defineComponent } from 'vue';
+          export default defineComponent({
+            setup: () => ({})
+          })
+        </script>
+      `
     }
   ],
   invalid: [
@@ -383,6 +394,32 @@ tester.run('prefer-use-template-ref', rule, {
           column: 22
         }
       ]
+    },
+    {
+      filename: 'block-arrow-setup-function.vue',
+      code: `
+      <template>
+        <button ref="button">Click</button>
+      </template>
+      <script>
+        import { ref } from 'vue';
+        export default {
+          setup: () => {
+            const button = ref();
+          }
+        }
+      </script>
+      `,
+      errors: [
+        {
+          messageId: 'preferUseTemplateRef',
+          data: {
+            name: 'ref'
+          },
+          line: 9,
+          column: 28
+        }
+      ]
     }
   ]
 })