diff --git a/calculate/templates/template_engine.py b/calculate/templates/template_engine.py
index b3b2e17..9d906fd 100644
--- a/calculate/templates/template_engine.py
+++ b/calculate/templates/template_engine.py
@@ -1558,9 +1558,12 @@ class TemplateEngine:
 
         if directory_path is not None:
             self.environment = Environment(
-                                       loader=FileSystemLoader(directory_path))
+                                       loader=FileSystemLoader(directory_path),
+                                       trim_blocks=True,
+                                       lstrip_blocks=True)
         else:
-            self.environment = Environment()
+            self.environment = Environment(trim_blocks=True,
+                                           lstrip_blocks=True)
 
         self.environment.filters = CALCULATE_FILTERS
 
diff --git a/tests/templates/test_directory_processor.py b/tests/templates/test_directory_processor.py
index 8f21116..cf692de 100644
--- a/tests/templates/test_directory_processor.py
+++ b/tests/templates/test_directory_processor.py
@@ -1446,7 +1446,7 @@ class TestDirectoryProcessor:
                            '# Processed template files:\n' +
                            f'# {template_path}\n' +
                            '#' + '-' * 79 +
-                           f'\n\n\ntemplate = {template_path}')
+                           f'\n\ntemplate = {template_path}')
         directory_processor = DirectoryProcessor(
                                          'install',
                                          datavars_module=datavars,