diff --git a/tests/test_conversation_continuation_integration.py b/tests/test_conversation_continuation_integration.py
new file mode 100644
index 0000000..153bd16
--- /dev/null
+++ b/tests/test_conversation_continuation_integration.py
@@ -0,0 +1,36 @@
+"""Integration test for conversation continuation persistence."""
+
+from tools.chat import ChatRequest, ChatTool
+from utils.conversation_memory import get_thread
+from utils.storage_backend import get_storage_backend
+
+
+def test_first_response_persisted_in_conversation_history():
+    """Ensure the assistant's initial reply is stored for newly created threads."""
+
+    # Clear in-memory storage to avoid cross-test contamination
+    storage = get_storage_backend()
+    storage._store.clear()  # type: ignore[attr-defined]
+
+    tool = ChatTool()
+    request = ChatRequest(prompt="First question?", model="local-llama")
+    response_text = "Here is the initial answer."
+
+    # Mimic the first tool invocation (no continuation_id supplied)
+    continuation_data = tool._create_continuation_offer(request, model_info={"model_name": "local-llama"})
+    tool._create_continuation_offer_response(
+        response_text,
+        continuation_data,
+        request,
+        {"model_name": "local-llama", "provider": "custom"},
+    )
+
+    thread_id = continuation_data["continuation_id"]
+    thread = get_thread(thread_id)
+
+    assert thread is not None
+    assert [turn.role for turn in thread.turns] == ["user", "assistant"]
+    assert thread.turns[-1].content == response_text
+
+    # Cleanup storage for subsequent tests
+    storage._store.clear()  # type: ignore[attr-defined]
diff --git a/tools/simple/base.py b/tools/simple/base.py
index 166b09a..df7dd4a 100644
--- a/tools/simple/base.py
+++ b/tools/simple/base.py
@@ -582,44 +582,7 @@ class SimpleTool(BaseTool):
         # Handle conversation continuation like old base.py
         continuation_id = self.get_request_continuation_id(request)
         if continuation_id:
-            # Add turn to conversation memory
-            from utils.conversation_memory import add_turn
-
-            # Extract model metadata for conversation tracking
-            model_provider = None
-            model_name = None
-            model_metadata = None
-
-            if model_info:
-                provider = model_info.get("provider")
-                if provider:
-                    # Handle both provider objects and string values
-                    if isinstance(provider, str):
-                        model_provider = provider
-                    else:
-                        try:
-                            model_provider = provider.get_provider_type().value
-                        except AttributeError:
-                            # Fallback if provider doesn't have get_provider_type method
-                            model_provider = str(provider)
-                model_name = model_info.get("model_name")
-                model_response = model_info.get("model_response")
-                if model_response:
-                    model_metadata = {"usage": model_response.usage, "metadata": model_response.metadata}
-
-            # Only add the assistant's response to the conversation
-            # The user's turn is handled elsewhere (when thread is created/continued)
-            add_turn(
-                continuation_id,  # thread_id as positional argument
-                "assistant",  # role as positional argument
-                raw_text,  # content as positional argument
-                files=self.get_request_files(request),
-                images=self.get_request_images(request),
-                tool_name=self.get_name(),
-                model_provider=model_provider,
-                model_name=model_name,
-                model_metadata=model_metadata,
-            )
+            self._record_assistant_turn(continuation_id, raw_text, request, model_info)
 
         # Create continuation offer like old base.py
         continuation_data = self._create_continuation_offer(request, model_info)
@@ -708,6 +671,14 @@ class SimpleTool(BaseTool):
         from tools.models import ContinuationOffer, ToolOutput
 
         try:
+            if not self.get_request_continuation_id(request):
+                self._record_assistant_turn(
+                    continuation_data["continuation_id"],
+                    content,
+                    request,
+                    model_info,
+                )
+
             continuation_offer = ContinuationOffer(
                 continuation_id=continuation_data["continuation_id"],
                 note=continuation_data["note"],
@@ -743,6 +714,45 @@ class SimpleTool(BaseTool):
             # Fallback to simple success if continuation offer fails
             return ToolOutput(status="success", content=content, content_type="text")
 
+    def _record_assistant_turn(self, continuation_id: str, response_text: str, request, model_info: Optional[dict]) -> None:
+        """Persist an assistant response in conversation memory."""
+
+        if not continuation_id:
+            return
+
+        from utils.conversation_memory import add_turn
+
+        model_provider = None
+        model_name = None
+        model_metadata = None
+
+        if model_info:
+            provider = model_info.get("provider")
+            if provider:
+                if isinstance(provider, str):
+                    model_provider = provider
+                else:
+                    try:
+                        model_provider = provider.get_provider_type().value
+                    except AttributeError:
+                        model_provider = str(provider)
+            model_name = model_info.get("model_name")
+            model_response = model_info.get("model_response")
+            if model_response:
+                model_metadata = {"usage": model_response.usage, "metadata": model_response.metadata}
+
+        add_turn(
+            continuation_id,
+            "assistant",
+            response_text,
+            files=self.get_request_files(request),
+            images=self.get_request_images(request),
+            tool_name=self.get_name(),
+            model_provider=model_provider,
+            model_name=model_name,
+            model_metadata=model_metadata,
+        )
+
     # Convenience methods for common tool patterns
 
     def build_standard_prompt(