MQTT retention requires protocol version 5 (Zigbee2MQTT error)

I have an existing Zigbee2MQTT setup. After recent Z2M update 1.26.0-1 mine failed with the MQTT retention requires protocol version 5 error.
I studied this and other threads on the error. With my existing installation, but was confused on which yaml code to edit. I had to edit the yaml using file editor from the HA sidebar menu, Not the yaml within Zigbee2MQTT configuration.

Used HA file editor (or other editor), navigated to /config/zigbee2mqtt/configuration.yaml and added a line of text “version: 5” to my existing config file under MQTT .

/config/zigbee2mqtt/configuration.yaml

homeassistant: true
mqtt:
  server: mqtt://core-mosquitto:1883
  user: addons
  password: aedaezopaif0o3didkow7fm1YaeGh9iieSh8ziiph0oashiep0Aomooz1cheeH
  version: 5    <---------
serial:
  port: >-
    /dev/serial/by-id/usb-ITead_Sonoff_Zigbee_3.0_USB_Dongle_Plus_fcc9e82b0b86ec118ab1631719c2d21c-if00-port0
frontend:
  port: 8099
advanced:
  homeassistant_legacy_entity_attributes: false
  legacy_api: false
  legacy_availability_payload: false
  log_syslog:
    app_name: Zigbee2MQTT
    eol: /n
    host: localhost
    localhost: localhost
    path: /dev/log
    pid: process.pid
    port: 123
    protocol: tcp4
    type: '5424'
  transmit_power: 12
  channel: 25
  last_seen: ISO_8601_local
  network_key:
    - 97
    - 142
    - 35
    - 233
    - 190
    - 118
    - 46
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