diff --git a/python/gui/auto_generated/processing/qgsprocessingwidgetwrapper.sip.in b/python/gui/auto_generated/processing/qgsprocessingwidgetwrapper.sip.in
index 2c7702a6900..a43e9a14c1a 100644
--- a/python/gui/auto_generated/processing/qgsprocessingwidgetwrapper.sip.in
+++ b/python/gui/auto_generated/processing/qgsprocessingwidgetwrapper.sip.in
@@ -160,6 +160,24 @@ Sets the child algorithm ``id`` within the model which the parameter widget is a
 .. seealso:: :py:func:`modelChildAlgorithmId`
 
 .. seealso:: :py:func:`setModel`
+%End
+
+    QgsMapLayer *activeLayer() const;
+%Docstring
+Returns the current active layer.
+
+.. seealso:: :py:func:`setActiveLayer`
+
+.. versionadded:: 3.14
+%End
+
+    void setActiveLayer( QgsMapLayer *layer );
+%Docstring
+Sets the current active ``layer``.
+
+.. seealso:: :py:func:`activeLayer`
+
+.. versionadded:: 3.14
 %End
 
 };
diff --git a/python/plugins/processing/gui/BatchPanel.py b/python/plugins/processing/gui/BatchPanel.py
index 3132321d841..c84fd6b7849 100644
--- a/python/plugins/processing/gui/BatchPanel.py
+++ b/python/plugins/processing/gui/BatchPanel.py
@@ -626,6 +626,7 @@ class BatchPanel(QgsPanelWidget, WIDGET):
         widget_context = QgsProcessingParameterWidgetContext()
         widget_context.setProject(QgsProject.instance())
         if iface is not None:
+            widget_context.setActiveLayer(iface.activeLayer())
             widget_context.setMapCanvas(iface.mapCanvas())
 
         widget_context.setMessageBar(self.parent.messageBar())
diff --git a/python/plugins/processing/gui/ParametersPanel.py b/python/plugins/processing/gui/ParametersPanel.py
index 09c76f183bd..ca870928ac0 100644
--- a/python/plugins/processing/gui/ParametersPanel.py
+++ b/python/plugins/processing/gui/ParametersPanel.py
@@ -98,6 +98,8 @@ class ParametersPanel(QgsProcessingParametersWidget):
         if iface is not None:
             widget_context.setMapCanvas(iface.mapCanvas())
             widget_context.setBrowserModel(iface.browserModel())
+            widget_context.setActiveLayer(iface.activeLayer())
+
         widget_context.setMessageBar(self.parent().messageBar())
         if isinstance(self.algorithm(), QgsProcessingModelAlgorithm):
             widget_context.setModel(self.algorithm())
diff --git a/python/plugins/processing/gui/wrappers.py b/python/plugins/processing/gui/wrappers.py
index 309b995adaf..9691e78a060 100755
--- a/python/plugins/processing/gui/wrappers.py
+++ b/python/plugins/processing/gui/wrappers.py
@@ -953,7 +953,7 @@ class MapLayerWidgetWrapper(WidgetWrapper):
                     self.combo.setValue(self.parameterDefinition().defaultValue(), self.context)
                 else:
                     if self.parameterDefinition().defaultValue():
-                        self.combo.setvalue(self.parameterDefinition().defaultValue(), self.context)
+                        self.combo.setValue(self.parameterDefinition().defaultValue(), self.context)
                     else:
                         self.combo.setLayer(iface.activeLayer())
             except:
diff --git a/python/plugins/processing/modeler/ModelerDialog.py b/python/plugins/processing/modeler/ModelerDialog.py
index 3f787e85a96..dc15c3356a9 100644
--- a/python/plugins/processing/modeler/ModelerDialog.py
+++ b/python/plugins/processing/modeler/ModelerDialog.py
@@ -214,6 +214,7 @@ class ModelerDialog(QgsModelDesignerDialog):
         widget_context.setProject(QgsProject.instance())
         if iface is not None:
             widget_context.setMapCanvas(iface.mapCanvas())
+            widget_context.setActiveLayer(iface.activeLayer())
         widget_context.setModel(self.model())
         return widget_context
 
diff --git a/python/plugins/processing/modeler/ModelerGraphicItem.py b/python/plugins/processing/modeler/ModelerGraphicItem.py
index 9db0500875e..82a4480bb91 100644
--- a/python/plugins/processing/modeler/ModelerGraphicItem.py
+++ b/python/plugins/processing/modeler/ModelerGraphicItem.py
@@ -55,6 +55,8 @@ class ModelerInputGraphicItem(QgsModelParameterGraphicItem):
         widget_context.setProject(QgsProject.instance())
         if iface is not None:
             widget_context.setMapCanvas(iface.mapCanvas())
+            widget_context.setActiveLayer(iface.activeLayer())
+
         widget_context.setModel(self.model())
         return widget_context
 
diff --git a/python/plugins/processing/modeler/ModelerParametersDialog.py b/python/plugins/processing/modeler/ModelerParametersDialog.py
index 0bdc8755b05..9d2ed9531b4 100644
--- a/python/plugins/processing/modeler/ModelerParametersDialog.py
+++ b/python/plugins/processing/modeler/ModelerParametersDialog.py
@@ -151,6 +151,8 @@ class ModelerParametersDialog(QDialog):
         widget_context.setProject(QgsProject.instance())
         if iface is not None:
             widget_context.setMapCanvas(iface.mapCanvas())
+            widget_context.setActiveLayer(iface.activeLayer())
+
         widget_context.setModel(self.model)
         widget_context.setModelChildAlgorithmId(self.childId)
 
diff --git a/src/gui/processing/qgsprocessingwidgetwrapper.cpp b/src/gui/processing/qgsprocessingwidgetwrapper.cpp
index 929609e0f34..c6f2aee0ff3 100644
--- a/src/gui/processing/qgsprocessingwidgetwrapper.cpp
+++ b/src/gui/processing/qgsprocessingwidgetwrapper.cpp
@@ -81,6 +81,16 @@ void QgsProcessingParameterWidgetContext::setModelChildAlgorithmId( const QStrin
   mModelChildAlgorithmId = modelChildAlgorithmId;
 }
 
+QgsMapLayer *QgsProcessingParameterWidgetContext::activeLayer() const
+{
+  return mActiveLayer;
+}
+
+void QgsProcessingParameterWidgetContext::setActiveLayer( QgsMapLayer *activeLayer )
+{
+  mActiveLayer = activeLayer;
+}
+
 QgsProcessingModelAlgorithm *QgsProcessingParameterWidgetContext::model() const
 {
   return mModel;
diff --git a/src/gui/processing/qgsprocessingwidgetwrapper.h b/src/gui/processing/qgsprocessingwidgetwrapper.h
index b7db3aab3a7..57650d8419b 100644
--- a/src/gui/processing/qgsprocessingwidgetwrapper.h
+++ b/src/gui/processing/qgsprocessingwidgetwrapper.h
@@ -172,6 +172,22 @@ class GUI_EXPORT QgsProcessingParameterWidgetContext
      */
     void setModelChildAlgorithmId( const QString &id );
 
+    /**
+     * Returns the current active layer.
+     *
+     * \see setActiveLayer()
+     * \since QGIS 3.14
+     */
+    QgsMapLayer *activeLayer() const;
+
+    /**
+     * Sets the current active \a layer.
+     *
+     * \see activeLayer()
+     * \since QGIS 3.14
+     */
+    void setActiveLayer( QgsMapLayer *layer );
+
   private:
 
     QgsProcessingModelAlgorithm *mModel = nullptr;
@@ -186,6 +202,8 @@ class GUI_EXPORT QgsProcessingParameterWidgetContext
 
     QgsBrowserGuiModel *mBrowserModel = nullptr;
 
+    QgsMapLayer *mActiveLayer = nullptr;
+
 };
 
 #ifndef SIP_RUN
diff --git a/src/gui/processing/qgsprocessingwidgetwrapperimpl.cpp b/src/gui/processing/qgsprocessingwidgetwrapperimpl.cpp
index 5e5383ea9dd..282877461f3 100644
--- a/src/gui/processing/qgsprocessingwidgetwrapperimpl.cpp
+++ b/src/gui/processing/qgsprocessingwidgetwrapperimpl.cpp
@@ -4902,6 +4902,8 @@ QWidget *QgsProcessingMapLayerWidgetWrapper::createWidget()
 
     emit widgetValueHasChanged( this );
   } );
+
+  setWidgetContext( widgetContext() );
   return mComboBox;
 }
 
@@ -4909,7 +4911,16 @@ void QgsProcessingMapLayerWidgetWrapper::setWidgetContext( const QgsProcessingPa
 {
   QgsAbstractProcessingParameterWidgetWrapper::setWidgetContext( context );
   if ( mComboBox )
+  {
     mComboBox->setWidgetContext( context );
+
+    if ( !( parameterDefinition()->flags() & QgsProcessingParameterDefinition::FlagOptional ) )
+    {
+      // non optional parameter -- if no default value set, default to active layer
+      if ( !parameterDefinition()->defaultValue().isValid() )
+        mComboBox->setLayer( context.activeLayer() );
+    }
+  }
 }
 
 void QgsProcessingMapLayerWidgetWrapper::setWidgetValue( const QVariant &value, QgsProcessingContext &context )